The Malaysian Insight

THE construction industry said labour shortage remains its biggest problem, dismissing concerns about the minimum wage being increased to RM1,200 in 57 cities and towns across the country.

Construction workers earn an average of RM2,000 a month, representatives said.

Master Builders Association of Malaysia (MBAM) president Foo Chek Lee said the daily wage of an unskilled construction worker ranges between RM60 and RM80, while skilled workers make between RM80 and RM100 a day. 

Foo told The Malaysian Insight that the construction sector has been paying its workers far more than the minimum wage as it had always been in need of manpower, especially skilled workers. 

According to him the biggest “headache” in the industry is not the minimum salary but the lack of manpower.

“Construction workers must work under the scorching sun. Many locals are unwilling to do it and most people are after jobs with high salaries, good benefits and a comfortable environment,” he said. 

Real Estate & Housing Developers’ Association (Rehda) Johor branch chairman Steve Chong Yoon On said the lack of clarity in government policies on foreign labour has forced many skilled employees to return to their countries. 

Some of these workers, who have made their fortune in Malaysia, are unlikely to return to work in the local construction industry, he said. 

Foo, on the other hand, said that some Indonesian workers who have returned home from Malaysia have started working for projects there. 

The salary in Indonesia is more or less the same as Malaysia and there are also several development projects there which have provided returnees with job opportunities, he said. 

While Indonesian workers are not willing to work in the local construction sector, Vietnamese workers often sought high salaries. 

The issue of shortage of workers is further exacerbated by the lack of resolution to the bilateral agreement on labour policies with Bangladesh. 

“We can hire Pakistani workers but we don’t know how capable they are,” he added. 

Kuala Lumpur, Shah Alam, Petaling Jaya, Johor Baru, Batu Pahat, downtown Malacca, Alor Star, Penang, Ipoh, Kuala Terengganu, Bentong and Anshun; Kuching North and South, Miri, Batawang, Sibu, Kota Samarahan and Bintulu; Kota Kinabalu, Sandakan and Tawau are among the towns and cities where the minimum salary has been raised to RM1,200. – December 26, 2019.