Malaysia Must Not Rely Too Much On Foreign Workers

Malaysia’s economy is fast growing and it needs a lot of workers to do all sorts of work.
Unfortunately, there are many jobs which Malaysians do not want to do which are dirty, dangerous and difficult. As a result, the country relies too much on foreign workers such as from Indonesia, Nepal and Bangladesh.

But over time, this is not healthy as the foreign workers do not help with the country’s economy. The Malaysian Economic Association has warned the country on its overdependence on foreign unskilled labour. Deputy president Latifah Merican Cheong said continued reliance on foreign workers will adversely affect the country’s gross domestic product growth in the long-term. In a statement on January 18, Latifah said foreign unskilled labour will not only create a low wage culture and replace local labour.

So what can we do? How can Malaysians help the country to reduce dependency on foreign
workers?

EMPLOYERS MUST HIRE LOCAL WORKERS

It is well known that Malaysian companies like to hire foreign workers as they are easily
available, cheap and are hard workers. This has to change and it is time for Malaysian companies to offer better pay to local workers. This is because foreign workers send back a lot of money back to their home countries such as Nepal, Indonesia and Myanmar.
They send millions of ringgit back to their homes and this will not help our economy and make our ringgit weak.

To avoid this, Malaysian companies must give jobs to Malaysians and offer good salaries to locals and help the country’s economy.  Some companies however want to save money and take the easy way out by hiring foreign workers as they want to save cost.
This has to change and Malaysian companies have to priotise on Malaysians and not foreign
workers. Besides, some Malaysian firms have made millions of profit and it is time for them to reinvest in the welfare of its workers.

GRADUATES MUST NOT BE CHOOSY

Malaysian university graduates must also not be too choosy such as asking for a RM6,000 starting salary and other big benefits. Malaysian graduates must be realistic, start from the bottom and work hard all the way to the top. University students are spoilt and are very choosy and don’t want to do the difficult, dirty and
dangerous jobs. It is time that university graduates change their mindsets and start doing something good with their lives rather than do nothing but become mat rempits or worse – commit crime.

GOVERNMENT IS ALSO HELPING

The government is also helping to limit the number of foreign workers entering into the country. Among them is by making sure that employers pay for their workers levy by imposing the Employer Mandatory Commitment which has now been postponed to next year.

On December 31 last year, Deputy Prime Minister Datuk Seri Ahmad Zahid Hamidi, who is also home minister, had announced that employers would be responsible for paying the levy of their foreign workers which would be enforced under the Employer Mandatory Committment. This will ensure that companies pay for their workers levy and this will prevent them from hiring to many foreign workers unless really necessary.

INCENTIVES TO COMPANIES HIRE MALAYSIANS

The government must give incentives to companies which hires Maalysians and not foreign
workers. As an example, a company which hires a lot of Malaysians should be rewarded such as lower tax payments and those who use automation can be given government loans or grants for them to expand their business. Only then will the locals be interested to work at local firms as their welfare are taken care of and their productivity is rewarded.

COMPANIES MUST GO FOR AUTOMATION

In a world of technology, Malaysian companies have no choice but to rely on automation as the country cannot rely on foreign workers forever.
Factories have to use robots or smart computers to take over the work carried out by foreign
workers. A lot of factories in Germany are fully automated while Ikea warehouses around the world uses robot and machines to make its products and store it at the warehouse.
Thus Malaysia should also do the same as automation makes the job easier, faster and more
efficient.

RINGGIT IS WEAK

However, there might be some hope because the ringgit is weak right now and foreign workers are already complaining that they have to send more ringgit back to their home country. If this situation continues, then the foreign workers might slowly go home as they can get better pay at their home countries and they don’t have to come to work in Malaysia.
After the foreign workers leave, it will be good for Malaysian workers to fill all the jobs
available.

EMULATE THE PALM OIL SECTOR

In the palm oil sector. most of the plantation managers are Malaysians. Although their work place is very far and in the middle of plantations, plantation compaies manage to attract Malaysians to work as estate managers. The plantation companies such as Sime Darby and Felda offer a big salary, free bungalow, free water and electricity for Malaysians to work and stay in the estate. Companies should emulate plantation companies by rewarding their Malaysian workers and give attractive benefits to them.

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