Malaysia: Govt urged to relax rules on foreign workers

• May 20, 2019

KUALA LUMPUR: The government has been urged to relax rules related to foreign workers recruitment, in order to stop more small and medium enterprises (SMEs) from winding up.

According to Kuala Lumpur and Selangor Indian Chamber of Commerce and Industry (KLSICCI) president Datuk R. Ramanathan, regulations on foreign workers recruitment have tightened since the change in government last year.

He claims that over 30% of KLSICCI’s business members have closed shop since the 14th general election.

KLSICCI has about 1,000 direct members and 12,000 indirect members.

“The government is not giving us the permission to bring in more foreign workers. In fact, the process to recruit foreign workers have become more complicated since last year.

“How can we invest more in our businesses and expand our operations if we don’t have enough manpower? If the current situation continues, I foresee more Malaysian Indian businesses to close down,” he told StarBiz.

While he concurs that the number of foreign workers should be controlled in order to ensure job opportunities for the locals, Ramanathan said this should not happen at the expense of local homegrown businesses, particularly the small-scale firms.

He suggested the government to legalise existing illegal foreign workers in Malaysia to address the insufficiency of blue collar workforce.

“It is reported that the country has about two million illegal foreigners working here. If we can’t bring in enough foreign workers, why don’t we utilise those who are already here?” he said, adding that the government should introduce improved and simplified requirements for SMEs to hire foreign workers.

Source: https://www.thestar.com.my/business/business-news/2019/05/20/govt-urged-to-relax-rules-on-foreign-workers/#fFkZlSjdACH62S23.99