by Georgette Tan
July 22, 2010, Thursday
KUCHING: Barring employees from taking personal loans will drive them to borrow from loan sharks, Congress of Unions of Employees in the Public and Civil Services (Cuepacs) president Omar Osman said yesterday.
Speaking at a press conference yesterday, Omar said he received a letter from the Sarawak Public Works Department (JKR) employees on March 26, highlighting the fact that they were barred by the department from taking personal loans.
This is allegedly because a certain number of employees were unable to repay their loans.
“Do all the employees owe money or is it just a handful?” Omar asked.
“Don’t tell me everyone can’t take out loans just because of a few people.”
He added that according to the letter, only housing loans are allowed and the ban includes all banks in Sarawak.
“What are the employees going to do if they are desperate? They might have no choice but to borrow from ‘ah longs’.”
Stating that this is the first time Cuepacs received such a complaint, Omar appealed to JKR to study the matter to get a clearer picture and reconsider their directive.
“If it’s true that a lot of employees are taking loans they could not afford to repay, don’t let the repercussions affect those who can repay them,” he said.