KUALA LUMPUR (May 29): With effect from June 1 this year, companies participating in the Skim Latihan 1Malaysia programme (SL1M) will be entitled to a double tax deduction incentive on allowances and training expenses, according to the Economic Planning Unit (EPU) in the Prime Minister’s Department.
In a statement Tuesday, the EPU said that Prime Minister Datuk Seri Najib Razak called upon all company and industry players to actively participate in the Corporate Social Responsibility (CSR) initiatives to train and enhance the employability of Malaysian graduates, especially those from rural areas and low income families.
“Tracer studies by Ministry of Higher Education suggest up to 20% of graduates did not secure employment within 6 months of graduation and most of them are underprivileged graduates.
“The Prime Minister is convinced that many of these talents are akin to unpolished gems, whereby a little help can go a long way to realise their potential,” said the EPU.
The EPU said that to address the issue of unemployability amongst underprivileged graduates, the Prime Minister had launched the Skim Latihan 1Malaysia (SL1M) on June 1,2011 as a private sector-led CSR where currently companies were sponsoring two months of soft skills training with six months on-job-training to the participating graduates.
It said that to date, the EPU — which coordinates the SL1M programme — had secured the commitment of 49 leading companies providing placements for more than 8,000 graduates.
All companies whether major or small players should contribute in this CSR project to help groom and enhance the employability of the trainees, said the EPU.
“It is by way of securing an employment that the graduates could improve the livelihood of their underprivileged families.
“The private sectors and the Government are collaborating to ensure the success of this CSR initiative,” said the EPU.
To further encourage greater corporate participation, the Prime Minister in his Invest Malaysia 2012 keynote address had announced that from June 1, companies participating in the SL1M programme would be entitled to a double tax deduction incentive on allowances and training expenses incurred.