Business groups slam Malaysia's last-minute public holiday announcement
The government's recent announcement of an extra public holiday for Hari Raya Aidilfitri has drawn sharp criticism from business groups. Samenta, a leading industry association, warned that last-minute holiday declarations create unnecessary financial strain on companies already facing economic challenges.
Malaysia already has one of the highest numbers of public holidays in Southeast Asia, with around 18 days annually under the Public Holidays Act 1951. This figure varies slightly by state but remains well above neighbouring countries—Singapore has 11 national holidays, while Thailand observes 19-20. Research from the Centre for Future Labour Market Studies (EU-ERA) even suggests that economic productivity peaks at just 10 gazetted holidays per year.
Samenta president Datuk William Ng argued that sudden declarations force businesses, especially SMEs, to bear avoidable costs. Manufacturers face penalties and triple wage payments, while retail, services, and F&B sectors struggle with operational disruptions. The group also stressed that such moves send the wrong signal to companies working to rebuild the economy. In response, Samenta called for a review of the **Public Holidays Act 1951** to limit the minister's power to declare ad-hoc holidays. They proposed a minimum notice period of three months for any non-emergency additions, giving businesses time to adjust staffing and operations. The group further urged the government to align messaging with policy intent, ensuring support for economic recovery rather than creating further uncertainty.
The debate highlights tensions between cultural observance and economic stability. With Malaysia's holiday count already exceeding regional averages, businesses warn that unplanned days off risk worsening productivity and financial pressures. Samenta's push for reform now puts the spotlight on balancing tradition with the needs of a recovering economy.
