Save the people, business and nation

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'In just five days since March 9, we are staring at a global pandemic and possibly recession.' - Tan Thiam Hock

Betrayals, deceits, back-stabbing, pledge of loyalty, back tracking pledge of loyalty, conspiracies, palace intrigue and back door negotiations.

Outcome of a quick recovery: Recovery of China is largely complete, including Hubei by the second quarter. Relatively fast rebound by end of the first quarter in Europe and the United States after initial acute drop in consumer demand. > Global pandemic and recession: Public health response by other countries less effective than China. Virus is not seasonal, fatality is higher than flu and major change in daily behaviour.

The transmission of Covid-19 is accelerating outside China. To make matters worse, global stock markets crash wiping off trillions in net worth.Unlike the Singapore government who have past reserves to tap on, the Malaysian government is broke and with falling crude oil prices, the safe dividends from Petronas will not be forthcoming this year. With recession looming, quick action is needed by the government and the private sector.

This temporary shortfall in contribution is actually a blessing to EPF who will be under less pressure to find suitable investments in the midst of global stock market crash. Senior management must take equal responsibility if not more in terms of pay cut or unpaid leave. When sales drop by more than 50%, our MAS CEO is talking about a personal 10% pay cut. The Qantas CEO in the meantime announced that he will not be paid a salary and his senior management team takes a 30% salary cut. When the airline goes under, everyone will be retrenched. Unemployed. Zero income.

 

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