‘Distressing’ job cuts to hit 30,000 Malaysian state contractors who did not finish school

The Malaysian government’s decision to terminate 30,000 contract staff without a school-leaving certification has drawn backlash from the country’s public service union, which said the sudden end to long careers working for the state lacks compassion.

Prime Minister Anwar Ibrahim has pledged an efficiency drive to cut state spending, which includes the government’s 1.6 million employees.

His administration is also working on integrating artificial intelligence (AI) into the civil service.

In August, the government raised the minimum entry qualification for government jobs to the Sijil Pelajaran Malaysia (SPM), Malaysia’s national school-leaving exam, equivalent to a high school diploma and is taken at 17.

That means that thousands of contractors who entered the workforce without the SPM face job losses after years of service without any benefits, or pension.

Contract staff usually receive a net pay that excludes medical insurance and other benefits.