I hope all the working professionals who are reading kopiandproperty.com is working hard and continued to get monthly salaries yeah. As we have read, the unemployment rate has risen and is very close to 4%. (Some say should already be higher…) A recent survey has showed that most of those losing their jobs were below 40 years of age. Yes, the below 40s are the ones losing their job during these few months.
Looking deeper, the main reason was not because they could not adapt to technology. Or that the company they worked for closed down. The major reason was because many of them were not in formal jobs with companies. In the U.S., these may also be known as gig economies. As soon as lockdown stops, the demand for services drop and thus these people would stop receiving any orders.
Article in malaymail.com Three out of five people who lost jobs in recent months were below 40 years of age and most of them do not have the protection of any social security net, according to DM-Analytic Sdn Bhd economist Zouhair Rosli.
He said, “(A total of) 2.5 million Malaysians were employed in the informal sectors. The number of youths between 20 and 30 years old working in informal sectors doubled from 6 per cent in 2016 to 12 per cent in 2019, despite the jobs not offering fixed wages.”
“Those who managed to keep their jobs saw their income reduced by 90 per cent. This group admitted that they did not have enough savings even to last for a month.” Do read in full the article here: Article in malaymail.com
As the saying goes, ‘to make hay while the sun shines.’ This meant that if we intend to be engaged in the informal work, then it’s extremely important to be more prepared because there is no security safety net, for example, EPF contributions. One would have to be even more disciplined in saving a portion of the monthly earnings for rainy days. Yes, current situation is one. Besides that, it’s extremely important to also ask ourselves if we are suitable for the informal work yeah. My wish is of course for everyone to be able to get back their jobs and for the informal sector workers, hope the demand for services will start to come back since the economy starts reopening. Stay safe.
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