Wednesday, October 09, 2019

Cabinet reshuffle Maybe necessary

Tun M is right. The performance of some cabinet ministers are lacking in direction and there is a need to address this shortcomings by a reshuffle. Tun M rightly pointed out that this could be due to inexperience in governing the country since with the exception of Muhyiddin, Saifuddin , and to a certain extent Azzmin and Lim Guan Eng, the rest are virtually greenhorns with no experience whatsoever in governing a ministery.The following are the  performance of the ministers and ministry that need to buck up.

1.   Welfare and woman Ministry
   This ministry helmed by the DPM , Wan Azizah and her Deputy Hannah Yeoh is a disappointment. Even a simple issue cannot be resolved to date. Pakatan has a majority and can easily pass legislation to ensure marriageable age should be 18 years and above. But alas this has not been done and the perpetuators are allowed to continue with the child marriage.

2. Minister of Finance.

I am surprise at the inability of Lim Guan Eng to grasp the pulse of our economy and implement a budget that will spur our economy. It is difficult to comprehend how LGE with his excellent management of Penangs finance could now find his talent missing at the Federal level
His introduction of RGPT of 5% after 5 years was done without understanding the implication.of this policy. With the overhang of unsaleable property in the market , the implementaion of the 5% RGPT will sound a death knell to the property market. With the current dull property market , the RGPT tax will dissuade speculators from buying property for investment.  With the lack of buyers, this will exaceberate the already dull market.With Property Developers caught in the position of their inabilty to sell their stock it is unlikely new project will surface. With no construction of new projects, the building industry with its manufacturing arms of hard ware materials will virtually come to a standstill. All related industry like cement, sand, granites , bricks etc will be seriously affected due to no demand.. That in a nutshell what an imposition of a 5% RGPT will do to the economy. All these various lack of activity in the housing industry will have a multiplier effect on the current stock market which will be dragged down by poor profit reports.
The introduction of the minumum wage bill of $1050 was a poor decision without having regards to the viabilty of such an implementation. The govt has no business dictating to business people how much to pay for their labour force. It should be left to market force of supply and demand to fix what wages should be paid to their workers. For employers any increase in wages or salary must be  tied to productivity. If productivity remains the same while wages increase this will only cause the increase of production cost because an increase in wages did not follow a corresponding increase in productivity. The net effect of this minumum wage increase will cause investors to flee their manufacturing base to other low labour cost countries like Vietnam and china to set upp their factories.  Thus the net effect would only caused an outflow of investment.

3. Ministry of Primary Industry.

This ministry helmed by Therasa Kok is a big disappointment. With current poor oil palm price in the world market her policy implementation of certification of the oil palm plantation has caused tremendous hardship to small holders and owners of estate more than 40 hectaacres. Her mandatory implemetaion of certification will cause small estate owners  of estate of 200 to 300acres  to appoint consultants to comply with certification. The appointment of consultants come with a price tag of $20,000 to $30,000. Further they have to engage a manager and supervisor to comply with certification. In addition these small estate will have to maintain more than 30 over files in the office to comply with certification. All this were done by the ministry without regards to cost that will affect the owners of small estate.. Therasa did not have any meetings or feedbacks with stke holders before implementing such a policy and her sudden implemetaion will result in closure of alot of small estate.

4. Education Ministry.

This ministry helmed by Mazlee has courted considerable controversy. Instead of focussing on important changes which have dire consequences for our young generations, he has been concentrating on colour of shoes and other non esentia matters. Nothing substantial has so far been done to change  our dilapilated education system.


The above four ministry  need to buck up or alternatively Tun M may need to make a necessary reshuffle.

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