MARAN: The Human Resources Ministry will allocate RM122 million to the Employment Insurance System (SIP) which is expected to be implemented next month.
Its Deputy Minister Datuk Seri Ismail Abdul Muttalib said that the allocation would be major assistance to employees who suddenly found themselves out of work.
"SIP is established with three objectives, which is (firstly) to provide immediate financial assistance to workers within seven days of losing their employment.
"We will also help contributor (to SIP) who lose their jobs to find new employment through a job placement programme.
"(Thirdly) Those who find themselves out of work will be given suitable training via a programme provided by us," he said today.
Yesterday while at Kuching, Human Resources Minister Datuk Seri Richard Riot Jaem said that SIP would come into force in January, once it gets the greenlight by the Dewan Negara and consent of the Yang di-Pertuan Agong.
He said that despite being opposed by employers, SIP was needed in order to act as a safety net and protection for retrenched employees, who could receive temporary financial aid up to six months of losing their jobs.