The Malaysian Insight

MOUNTING complaints from buyers over defects on finished properties, largely contributed by the shortage of a skilled workforce, have left construction industry players in a pickle.

Johor Real Estate and Housing Developers’ Association Malaysia (Rehda) chairman Steve Chong Yoon On said it’s becoming more difficult to find an unskilled newcomer to build a property with zero defects.

The various programmes to legalise illegals have led to an exodus of skilled workers, which, in turn, is forcing developers to look for substitutes.

“The level of building skills today is not on a par with the past. After the skilled foreign labourers who have worked in the construction field for five to six years return to their countries, a new batch of foreign workers arrive. It is difficult for them to attain the same level of skills in such a short time.

“This is a sad state of the construction industry. In recent years, developers have been receiving more complaints from homeowners when they get their keys. It is estimated that in the past three to four years, homeowners’ complaints about defects have tripled,” he told The Malaysian Insight.

Both developers and sub-contractors have been receiving more complaints from unhappy buyers over poor workmanship, he said.

It’s the responsibility of the developers to repair the defects, hence resulting in added cost, he said.

The establishment of various complaint channels, such as the Tribunal for House Buyers Claims and others have increased the number of complaints and filing of claims.

He added that the rise of social media is another factor.

“Homeowners can post complaints on social media, such as Facebook, and immediately attract a lot of comments from netizens.

“We are obliged to repair defects. Therefore, hiring unskilled workers has led to standards not being met and increasing our costs.”

Chong said some defects can’t be spotted immediately and only noticeable when it rains and there’s a leak.

However, the Master Builders Association Malaysia (MBAM) president Foo Chek Lee said current homeowners are more careful with their purchases, hence they thoroughly inspect their properties to ensure they’re defect-free.

He also disagreed with Chong that the defects are solely due to unskilled workers.

“Homeowners complain that the unit is defective due to many factors. It cannot be said that this is due to the lack of skilled foreign workers alone.

“Moreover, the quality of the housing unit is a personal view and it is difficult to find 100% non-defective housing units.”

 He agreed that the construction industry is indeed facing a shortage of skilled foreign workers.

Foreign workers are not willing to stay in Malaysia even if they are paid higher salaries.

“Indonesia has more and more development projects and salaries are catching up with Malaysia, so Indonesian foreign workers are reluctant to return (here).

“As for Vietnamese, they’re demanding high salaries.”

Chong said the construction industry is facing a tough time and called on the government to act to improve the situation.

“I suggest that the government find ways to reduce construction costs and make the environment conducive for investments. Banks should relax their applications for loans.” – December 26, 2019.