Levy hike to reduce dependence on foreign workers

Levy hike to reduce dependence on foreign workers

Deputy prime minister calls for various parties to offer more opportunities to local workers and to provide them with more training programmes.

foreign-workers

BEIJING:
Deputy Prime Minister Ahmad Zahid Hamidi said the increase in the levy on foreign workers should be seen as a positive move to reduce the country’s dependence on foreign workers.

He said that Malaysia, as a nation heading towards developed status by 2020, should be prepared to be self-reliant on local manpower and to minimise dependence on foreign workers by the time it celebrates its 100th independence anniversary in 2057.

“We must be aware that we cannot be depending on foreign workers forever. We have to give opportunities to locals, even though the work involves the 3D aspects (difficult, dirty and dangerous). But long-term measures should be carried out by employers to give priority to locals.

“Training schemes should be established by the Human Resource Ministry, Education and Higher Education Ministries, manufacturer associations and employers to carry out semi-skilled and skilled training for local workers. Automation is also another option in the long run,” he said.

He was speaking to reporters on the protests voiced by various parties, including manufacturer and contractor associations, on the foreign worker levy hike here today.

“We should learn from developed Eastern countries such as Japan, South Korea and even China that do not depend on foreign workers,” he said.

Zahid said the government was still listening to the concerns raised by several parties even though the new levy had become effective on February 1.

“Despite the implementation of the levy on February 1, there is still room for the government to study whatever concerns were raised as we are not afraid of reviewing the implementation,” he said.

Earlier, Zahid announced that effective February 1, the levy on foreign workers in the manufacturing and construction sectors had been raised two-fold to a rate of between RM1,250 and RM2,500.

The levy on foreign workers in the service sector would also follow the new rate instead of the RM1,850 charged previously, while foreign workers in the plantation and agriculture sectors needed to pay RM1,500 to enter in the country.

However, the restructuring did not affect levies on domestic maids, which was maintained at a price of RM410.

– BERNAMA

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