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Muar Furniture Sector Short of 10,000 Foreign Workers

Furniture manufacturers in Johor are facing foreign labour shortage and it has caused at least 10 manufacturers in Muar to close last year, said the Federation of Johor Furniture Manufacturers and Traders Association president Koh Chon Chai. He said the problem is serious and the industry players in the state were short of 10,000 foreign workers.

“This has affected production. Some have been forced to close down,” he said on the sidelines of a trade conference.

Koh said Muar is a major furniture production base for the country and 63% of the furniture exported by Malaysia is produced in Johor.

“There are some 800 factories. We export to over 100 countries. Our export is worth about RM9.5 billion. Demand is good due to the quality of our raw materials and good design,” he said.

Koh said automation was not the solution to the labour woes.

“Our products can only fetch premium prices when we tell our customers that our furniture is handmade,” he said.

He said, the handmade requirement has become one of the obstacles for automation of the industry.

According to statistics, a total of 8,048 foreign workers were brought in for the furniture industry in 2016.

In June, in a move to help the industry, the government banned the export of rubber wood from July 1.

The Minister in the Prime Minister’s Department Datuk Seri Dr Wee Ka Siong said that the decision was made following complaints by the furniture industry and exporters that they were facing a shortage.

Wee said the country exported some RM300 million in raw rubber wood yearly to countries like Vietnam and China.

Foreign workers News source: The Sun

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    If you are Malaysian employers, please stated your workers' country origin.
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Pessimism Prevails For Economy In Near Term, Sentiment Picks Up For 2018, says ACCCIM

“Attention should be focused on the issues that businesses face, as their adverse performance could have a significant impact on the economy. “Other concerns include a shortage of foreign workers in the country, which continues to impact the economy.

datuk-ter-leong-yap

The local Chinese business community is optimistic of a turnaround in the Malaysian economy in 2018, when conditions are expected to improve.

However, the Associated Chinese Chambers of Commerce and Industry of Malaysia (ACCCIM) said businesses surveyed showed pessimism this year and for 2017.

“The level of pessimism is somewhat reduced for 2017 and there is greater confidence in the economy by 2018,” it said, in its survey report on the economic situation for the first half of the year.

For the first six months of 2016, sales performance deteriorated in the manufacturing sector, in contrast with an improvement in the sales performance for businesses in the wholesale and retail sector.

The local Chinese business community is optimistic of a turnaround in the Malaysian economy in 2018, when conditions are expected to improve.

The local Chinese business community is optimistic of a turnaround in the Malaysian economy in 2018, when conditions are expected to improve.

Performance isn’t expected to improve in the near term, as businesses expect to experience ‘poor collections’ based on challenging conditions and cash flow issues.

The latest figures are in tandem with the growth pace of the Malaysian economy, which grew by 4.1 per cent in the first half of the year.

Private sector activity continues to be the main engine powering the growth.

“Attention should be focused on the issues that businesses face, as their adverse performance could have a significant impact on the economy.

“Other concerns include a shortage of foreign workers in the country, which continues to impact the economy, according to ACCCIM president Datuk Ter Leong Yap.

He urged the government to lift the freeze on foreign workers, saying most businesses are still facing labour shortage issues, resulting in a reduced ability to accept new orders or to operate manually.

The government has opened four sectors (manufacturing, construction, plantations and furniture-making industries) for application to employ foreign workers.

News Source: NST

Do you facing manpower shortage problem? We are an established manpower recruitment agency located in Kuala Lumpur and can help you to solve your foreign worker shortage issue. Fill up the form below and we will contact you shortly.

Malaysia Foreign Workers Supply

Enquiry Form For Malaysia Foreign Workers Supply
  • Tell us which industry are you from?
  • Please stated what kind of products & services you are dealing with. ie Manufacturing - Food.
  • If you are a foreign workers, tell us which country are you from.
    If you are Malaysian employers, please stated your workers' country origin.
  • What is your current no. of workers in your company
  • How many new workers you intend to hire
  • Please write down the requirements, issue and problem (if any) you encountered and would like to seek professional opinions from us.
    Tell us how do you found us and our website.
  • Please let us know the convenience time to contact you to discuss further.