Most businesses suffering from prolonged closure

MANUFACTURERS in Malaysia recently made an urgent appeal to the government to allow immediate resumption of all economic activities to prevent more businesses from being forced to close, and also to prevent the country from plunging into an economic recession.

Under the movement control order, which was first implemented from March 18 last year as a preventive measure to control the spread of Covid-19, businesses were classified into essential services and non-essential services.

Businesses that were categorised as non-essential services were forced to close during the MCO period.

Those in the essential services category were allowed to operate but with only 50% of their workers. In addition, only critical operations were allowed.

Since the implementation of the first MCO last year, different levels of movement restrictions have followed, but a full lockdown was imposed nationwide from June 1, 2021. This was supposed to be for two weeks only, but it has been extended until a certain phase of the National Recovery Plan has been achieved.

Industry is most concerned with the prolonged closure of the non-essential services sector, which represents the majority of Malaysian businesses.

Businesses are interconnected in their supply chain, where the operations of the essential services sector need materials produced by the non-essential services sector and vice versa. Because of this, some businesses in the essential services sector have already encountered shortage in supply of materials from the non-essential services sector.

The government is urged to do away with the categorisation of businesses into essential and non-essential services. All businesses should be allowed to operate as long as they comply with the standard operating procedures (SOP). These include getting workers vaccinated, ensuring strict adherence to SOP and carrying out periodic Covid-19 screening of all employees.

If the National Security Council considers this proposal not feasible at the moment, it could allow the non-essential services sector to operate on alternate weeks. This would at least improve the supply of materials to the essential services sector, keep businesses afloat and ultimately prevent irreparable damage to the economy.

WONG SOO KAN Petaling Jaya