Coronavirus Pandemic: Malaysia cuts foreign workers amid labor shortage

Malaysia government has announced that it will no longer accept foreign workers until the Covid-19 pandemic situation ease. However, numerous critical businesses have reported labour shortages that are expected to intensify once borders reopen, with thousands of migrant workers expected to return home.

In one particular case, 90% of the workforce were foreigner in the largest wholesale market in Kuala Lumpur prior to Covid-19. However, following a cluster of covid-19 infections in the wholesale market itself, the authorities temporarily closed the market for sanitising and disinfection. Foreigners are no longer permitted to work in Malaysia, thus, employers have scrambled to find local manpower replacements, with varying degrees of success.

"Most Malaysians dislike dirty, difficult, and dangerous jobs. Some of them only come to work for one or two days. Others will just disappear in a matter of hours." WONG, the President of the Kuala Lumpur Vegetable Wholesalers' Association, stated.. However, other locals have persevered, especially for those who lost his job during the pandemic. "I don't care how people perceive this type of work. Money isn't going to fall from the sky. We need to make a living. Every job has its own set of challenges." Mr Tan Former Restaurant Employee .

Foreigners make up the vast majority of the workforce in a variety of industries, including plantations, construction, and labor-intensive manufacturing. Key industries such as palm oil and rubber glove production say they are already experiencing labour shortages and are urging the government to reconsider its ban on new recruitment of foreign workers in Malaysia.

The employers' federation, on the other hand, supports the government's move on foreign manpower restriction. "The government must be particularly strict this time, stating that if there are locals who are unemployed, companies must first recruit them. And, of course, they should not permit the hiring of foreign workers while our unemployment rate remains high." Shamsuddin Bardan, Malaysian Employers' Federation.

Nonetheless, Bardan believes Malaysians will continue to be averse to working as labourers on plantations and construction sites, even if the pay is higher than that of foreigners. It will take time to reduce Malaysia's reliance on foreign labour.