Tag - foreign workers malaysia

muar_furniture_manufacturing

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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Malaysia Foreign Workers Supply

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plantation workers malaysia

Sarawak Palm Oil Sector Losing RM2.8bil Revenue Due To Shortage of Manpower

The Sarawak palm oil industry has incurred revenue losses of some RM2.8bil a year due to the shortage of more than 12,000 manpower, a seminar here was told. According to Sarawak Oil Palm Plantations Owners Association (SOPPOA) chief executive officer Sylvester Fong Tshu Kwong, the labour shortage has also resulted in the Sarawak government losing more than RM133mil a year from the collection of sales tax on palm oil.

He said that as at June 2015, Sarawak had a shortfall of 12,042 harvesters. His calculation on the revenue losses was based on the average of 1.75 tonnes of fresh fruit bunches (FFB) per day harvested by one harvestor on 22 working days per month.The price of the FFBs used for the calculation was RM400 per tonne.

The RM2.8bil figure was made up of the loss in production of FFB, crude palm oil (CPO), palm kernel and crude palm kernel oil CKPO), as well as revenue loss in CPO and CKPO. “There is a severe shortage of field workers in the palm oil industry in Sarawak. We desperately need more fruit harvestors and collectors, otherwise the fruits will be left to rot on the trees, causing huge losses,” Fong said in his paper Labour requirements,remuneration system and costs of doing palm oil business – from Planters Perspective at the seminar.

The event on Addressing the manpower needs of the oil palm industry in Sarawak was organised by the state Land Development Ministry, in collaboration with Sarawak Development Institute.

malaysia manpower shortage

Fong said besides the shortage of harvesters, the state oil palm oil estates had a shortfall of 26,624 field workers, 16,258 general workers and 4,402 other types of workers.

“The total field workers required as at June-2015 was 160,426 against total worker employed of 101,100, resulting in a shortfall of 59,326,” he added. Based on statistics,nearly 79% of the field workers are foreigners, mostly Indonesians.

“It appears that Sarawak plantation sector has become a training ground for the Indonesians,” remarked Fong.

He said as the state targetted to increase its oil palm planted areas to two million ha by 2020 from 1.4 million ha currently,the number of field workers needed would jump to 255,143, executives and staff to 13,428 (from 9,300). This estimation excludes the independent smallholders based on the assumption that they work on their own land.

“Currently,the only source of foreign workers supply is from Indonesia where supply is getting scarce. Indonesia will not continue to fulfill the needs of the industry for reliable workforce when their own plantation industry is increasing at faster pace and also facing shortage,” said Fong.

He said the expanding plantation sector offered lots of opportunities for the locals in employment, and he suggested the state to consider recruiting foreign workers from India, Nepal, Myamner in the short term..

Fong said wages in the Sarawak plantation sector were expected to rise due to a combination of factors, including declining supply and increasing recruitment cost of foreign workers. The other factor is the intensification of mechanisation in plantation works, resulting in demand for a higher level of skilled workers.

Describing oil palm as a “sunrise” industry in Sarawak, he said it would continue to contribute substantially to state revenue and state infrastructure development going forward. Last year, Sarawak earned RM8bil from palm oil exports, or 8.8% of the state’s total exports, valued at RM90.3bil. It contributed RM1.9bil in sales tax to the state government from 2010-2015.

News Source: The Star

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Malaysia Foreign Workers Supply

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Undocumented Pinoys In Malaysia Urged To Take Advantage of Rehiring Program

Undocumented Filipinos in Malaysia are encouraged to take advantage of the Malaysian government’s ongoing Rehiring Program in order for them to secure valid work permits, the Philippine Embassy said Wednesday. Concerned Filipinos have until June 30, 2016 to avail of the program at Peninsular Malaysia, according to Ambassador J. Eduardo Malaya in a statement.

Filipinos qualified for the program are those who entered Malaysia through a regular airport or port of entry, who have no criminal records, and have worked with the same employer for the last six months.

Overstaying Filipinos with visit pass temporary employment (VPTE or employment visas) while working with the same employer or who entered Malaysia under social visit passes (SVP or tourist visas) are also qualified to apply.

Filipinos who have overstayed with employment visas but with a different employer are also qualified, the embassy said.

Malaya said qualified Filipino workers must have a valid passport, pass the Foreign Workers’ Medical Examination Monitoring Agency’s medical exams, and pay the levy according to the sector they choose to enter.

Filipinos applying for the program may choose to enter the construction, manufacturing, services, agriculture, and plantation sectors.

Interested applicants may register online form below:

There are an estimated 93,000 documented Filipinos workers and employees in Malaysia, according to the embassy, with “a few thousands more” with irregular status.  — Rie Takumi/KBK, GMA News

News Source: gmanetwork.com

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Malaysia Foreign Workers Rehiring Program

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