KUALA LUMPUR (Jan 14): The Federation of Malaysian Manufacturers (FMM) said it would be a hasty decision at this point to call for the abolishment of the Human Resources Development Fund (HRDF).

FMM concurred that the recent revelation of the misuse of funds to buy property which had not followed proper procedures is indeed a very serious matter involving the management of public funds and should not have been allowed to happen.

Nevertheless, FMM is of the view that following the review and recommendation of the independent Governance Oversight Committee (GOC), stricter governance measures will be put in place with stronger controls and governance structures to ensure there will be no misappropriation or misconduct involving the HRDF assets.

More importantly, the overhaul of the governance structure and controls that have been recommended to be implemented will provide the foundation for realignment of past wrongdoings and position the organisation for the purpose it was set up for, to meet human capital development and training needs of the industry.

FMM said the Pembangunan Sumber Manusia Bhd (PSMB) should focus its efforts on spearheading the human capital development of the labor force to ensure both the existing and future workforce is prepared to meet the demand driven by the current economic and technological changes, especially the changes and challenges brought about by the 4th Industrial Revolution.

It is important that PSMB harmonises efforts to upskill and reskill the existing workforce to meet the challenges of automation and digitalisation, in particular Technical and Vocational Education and Training (TVET) skills, and facilitate the efficient utilisation of the HRDF levy to ensure that the industry is able to adapt to the changes and challenges quickly and maintain its competitiveness and remain sustainable.