KUALA LUMPUR, June 3 (Bernama) — Malaysia Productivity Corporation (MPC) has conducted a study on the impact of COVID-19 on productivity. Findings from the study affirm the current scenario that businesses have been severely affected by the pandemic, with the enforcement of the Movement Control Order (MCO) as the major disruptor from the crisis. More than 70% of the respondents were significantly affected by the pandemic especially in terms of revenue streams.
Should the situation persist longer, companies are facing the possibility of losing up to 100% of income which may lead to the closure of businesses. This may snowball to other negative impacts in the workforce namely increased unemployment rate, loss of assets, and accumulated debts. The possible scenario will eventually lead to the declining productivity growth of the country. As of the time of data collection, more than 50% of the respondents have already experienced reduction of productivity level by 25% to 100% due to restrictions in the movements of goods and people when MCO was implemented from 18 March 2020.
