CGS-CIMB Study head of economics Ahmad Nazmi Idrus suggests the rise will gain all workers to some extent, but cautions that a hike in wages without having a rise in productivity is simply “inflationary”.
On the other hand, the opportunity of migrant worker exploitation can not be dismissed. Also, the regularly evolving regulations regarding migrant worker recruitment raises worries for foreseeable future recruitment procedures. As I wrap up my analysis, I can’t help but question what the longer term outlook retains and what likely alterations may well can be found in the recruitment course of action.
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The population of undocumented foreign workers from the place is believed to become massive, with some saying which the variety is equal to that of lawful foreign workers, if not more.
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SERC’s Lee thinks that the multi-tier levy, current market-dependent technique would help to cut back dependency on foreign labour although the plan, which was alleged to commence on Jan one, has long been deferred to July one.
✅ Firms want outsourcing foreign workers as they are Work permit Malaysia usually not topic to collective bargaining agreements and can be hired for specific intervals just before returning to recruitment organizations. (Supply: Team Investigation)
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“Opaque non-public recruitment methods, from time to time coupled with complex worker deployment procedures set out by governments in labour-sending international locations, generally involve burdensome recruitment charges, triggering or raising the indebtedness of foreign workers.
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This arrangement will allow providers in order to avoid collective bargaining agreements and to rent workers for certain intervals before returning them towards the recruitment agency.