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From palm oil production to semiconductor manufacturers,
Malaysian companies are unable to purchase orders. They are being forced to
give back to the buyers as the production is reduced due to labor shortage.
The companies are losing billions of dollars. The Southeast
Asian country has a labor crisis of more than one million. This is hampering
their economic recovery efforts.
The British news agency Reuters reported that. Due to the
Corona epidemic, the ban on hiring foreign workers was lifted in February. But
due to the slow pace of government approval, a large number of expatriates are
unable to return to Malaysia.
Various industry groups, companies and diplomats say talks
with Bangladesh and Indonesia on labor protection are also being delayed. That
is why it is not possible to hire workers immediately.
Malaysia's economy is export-dependent. It has an important
relationship with the global supply-chain. They depend on millions of foreign
workers to keep the palm cultivation, factories and services in operation. The
locals stay away from these activities by calling them dangerous, difficult and
dirty. Even if they join the factory, they do not last long.
Along with rising growth, industrial production is losing
buyers from different countries. This sector contributes one-fourth to the
Malaysian economy. Soh Thian, president of the country’s Manufacturers
Federation, said sales have increased. There is also new hope. But different
companies are not able to produce according to the purchase order. Their
activities are being hampered.
Three and a half thousand companies are represented by the
country's manufacturer federation. Carl Beck-Nielsen, chief executive officer
of palm oil producer United Plantations, said palm oil farmers were at risk of
serious losses. The situation is very bad. Apparently, seven people have been
dropped to play against eleven on the football field.
According to government data, there is a shortage of at
least 12 lakh workers in manufacturers, agriculture and infrastructure. As
demand has increased since the lifting of the epidemic, the deficit has become
more severe.
Malaysia has a shortage of six lakh manufacturing companies,
five and a half lakh in infrastructure, one lakh 20 thousand in palm oil
industry and one and a half lakh in shipbuilding. That is why they are claiming
that the demand of the buyers is being hindered. Medical glove manufacturers
also need 12,000 more workers.
The country's position in the production, purchase and
management index fell in May. In April, the index was 51.6 percent, but in the
following month it has decreased to 50.1 percent. The number of workers has
decreased the most since August 2020, so it has not been able to increase
production.
The palm oil industry accounts for five percent of the
country's economy. They warn that 3 million tons of crops will be lost this
year. Because of the shortage of labor, the trees have rotted. It has caused a
loss of 4 billion US dollars. If the labor crisis continues, the rubber glove industry
is expected to lose Tk 70 crore this year.
Asked about this, the Malaysian Ministry of Human Resources
could not be reached for comment. Last April, Minister M. Saravanan said the
companies wanted to hire 475,000 migrant workers. But we only approved two
thousand. Their application has been rejected for failure to comply with the
regulations and for incomplete information.
|Source: Online/MA
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