Separating SKM Chairman and CEO Roles Can Strengthen Governance – Ewon

KUALA LUMPUR: The division of powers between the chairman and chief executive officer (CEO) of the Malaysia Co-operative Societies Commission (SKM) will strengthen its governance in empowering and encouraging the development of the cooperative movement in the country.
Entrepreneur Development and Cooperatives Minister Datuk Ewon Benedick said under the new structure proposed through the amendment of the Malaysia Co-operative Societies Commission Act 2007 (Act 665), the positions of chairman and CEO of SKM will be held by two different people.
“SKM will be led by a chairman who is responsible for setting the policy and direction of the commission. SKM’s Board of Directors can delegate any of its powers or functions under Act 665 and the Co-operative Societies Act 1993 or Act 502 to the CEO.
The CEO, who is an employee of SKM, is responsible for the administration, management of functions and daily affairs of the commission, in addition to implementing policies set by the Board of Directors and being a member of the Board.”
He said this when tabling the Malaysia Co-operative Societies Commission (Amendment) Bill 2023 which was later debated by 12 Members of Parliament at the Dewan Rakyat here today.
Ewon said Act 665 had previously allocated a supervisory structure by SKM’s Board of Directors in determining the policy, direction, administration and management of the body’s affairs.
However, in line with current developments, he said SKM’s functions should be further strengthened so that it can regulate the cooperative movement to continue to grow and be viable.
Ewon said in addition to the division of powers between the chairman and CEO, the composition of SKM’s Board of Directors was also improved through the amendment of the Act.
The Dewan Rakyat sitting continues tomorrow.
— BERNAMA