So, not all is well. As many expect some growth in the last quarter of 2009,today's projection of higher unemployment is definitely a dampener to high hopes. Mulling on the figure of 4.5% as the expected rate of unemployment by year-end, International Trade and Industry Deputy Minister Mukhriz Mahathir told reporters that this is higher than last year's rate of 3.7%."To us, the figure is high and we have never reached this high a figure before. At the same time, we are trying to reduce the jobless rate," he retorted after launching the Third National Internship Challenge here.
He said most factories that had laid off workers had begun to take back their former employees after demand had picked up.
As of July 7, Mukhriz said, statistics compiled by the Human Resources Ministry showed a cumulative figure of 38,732 workers retrenched due to the economic crisis.
Of the total, 29,712 were permanently terminated while 9,020 accepted voluntary separation offers. In addition, 40,662 workers had their pay reduced while 4,112 were temporarily laid off.
In his speech earlier, Mukhriz said that although downsizing in the current downturn was not as severe as during the 1997/98 Asian financial crisis when 84,000 Malaysians had lost their jobs, it was still a cause for concern.
"We need to do something by coming up with creative action to minimise the impact of this current crisis.
So, is his prediction going to come true?
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