HR Ministry Updates: Foreign Labour and Retrenched Malaysians

Foreign Labour

The Human Resources Ministry and Home Ministry have established a special committee, aiming to give an accurate representation of employment in Malaysia. Human Resources Minister Datuk Seri M. Saravanan stated this would enable better cooperation between the two ministries that have diverse functions related to foreign labour.

"Previously, we had problems to obtain an accurate number (of foreign workers). While we (are responsible to) answer about employment, work permits (for foreigners) are under the jurisdiction of a different ministry. I agree that we have this issue; and at the same time, would like to thank the prime minister for establishing a special committee that will be chaired by a senior minister," he said.

The minister also said that the committee has acknowledged the flaws and with the agreement of the home minister, the platform was set up to allow them to obtain an accurate figure.

More opportunities for locals

Earlier, Saravanan said the government would continue to focus on providing more opportunities for Malaysians, especially youth while decreasing dependency on foreign labour that monopolised the manufacturing and construction industries.

The minister said that in the six months period since the country was first hit by the pandemic, Malaysia managed to decrease its dependence on foreign workers in which statistics showed that the number of foreign workers dropped from 1.98 million in January 2020 to 1.54 million in May 2020.

He said measures were taken to address the effects on Malaysia's job market after the global pandemic. Among them are:

• wage subsidy programmes,
• employment retention programmes;
• boosting robotics and Internet of Things (IoT) to produce more local skilled workers; and
• freezing recruitment of foreign workers until the end of the year.

Saravanan said as of July 1, manufacturers would have to post a job advertisement in Jobs Malaysia portal for at least 30 days. "Manufacturers will only be allowed to apply for foreign workers and expatriates if the vacancies are not filled in by locals," he said.

The government hopes that more locals will join the sectors that were dominated by foreign workers.

It was reported that there are about 837,000 foreign workers in the construction, agriculture and plantation industries. About 700,000 foreign workers are employed in the manufacturing sector, 309,000 in the services sector and about 130,000 foreigners work in the domestic sector.

The minister said the Workers’ Minimum Standards of Housing and Amenities Act 1990 (Act 446) Amendment 2019  which now covers the housing and accommodation aspects of workers in all employment sectors will attract Malaysians to join the sector that is normally dominated by foreign workers.

Malaysians workers retrenched in Singapore

Saravanan said that the Malaysian government has assured that the fate of Malaysian workers who lost their jobs in Singapore because of the global pandemic will be given due attention. He said that he had held a meeting with Singapore's Ministry of Manpower to seek a win-win solution to the problem faced by Malaysian workers in the country.

“The government is always concerned about the fate of Malaysians working in other countries. Not only in Singapore as we are in a health crisis (Covid-19). We (the government) will take a positive step towards addressing the issue," he said.

The minister said that the Malaysian workers can return to the country and undergo the Covid-19 screening test. He added that the government will search for the best way to provide them with employment opportunities.

Sources: New Straits Times & Malay Mail

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