Daily HR News 21.11.2024
1. Legal framework changes testament to govt's commitment to labour force welfare, says HR Minister
The Malaysian government has reaffirmed its commitment to workforce welfare through legal reforms, said Human Resources Minister Steven Sim. Initiatives include flexible work arrangements, anti-discrimination protections, and efforts to combat sexual harassment. At the Life at Work Awards 2024, Sim highlighted the alignment of these efforts with the Madani Economy framework, targeting 60% women’s workforce participation for equity and growth.
2. Life At Work Awards 2024: Reshaping the workforce with inclusive strategies
Flexible work arrangements are now essential, with 40% of Malaysians willing to quit jobs lacking flexibility, especially Millennials and Gen Z. At LAWA 2024, TalentCorp's Wong Shu Qi emphasized that DEI fosters belonging, boosting productivity and reducing turnover. The government introduced key labor laws, including maternity leave expansion and tax incentives, promoting flexible work and workplace sustainability.
Source: https://theedgemalaysia.com/node/734752
3. Overhaul inefficient RM19.4mil migrant worker system, urges PAC
The Public Accounts Committee (PAC) urged Malaysia’s human resources ministry to overhaul the RM19.39 million ePPAx system due to inefficiencies, including faulty quota calculations and security flaws. It also criticized overlapping functions with the FWCMS, leading to fund wastage. The PAC raised concerns over the costly renewal of Bestinet Sdn Bhd’s FWCMS contract, calling for better ministry collaboration.
4. Bestinet contract extension for foreign worker recruitment system could cost govt minimum of RM3.2b, says PAC
The Malaysian government’s six-year contract with Bestinet Sdn Bhd for the Foreign Worker Centralised Management System (FWCMS) could cost at least RM3.2 billion, the Public Accounts Committee (PAC) revealed. The contract, effective June 2024, doubles the ePass fee to RM215. The PAC flagged the terms as overly favorable, urging stricter oversight and integration with the upcoming National Integrated Immigration System (NIISe).
Source : https://theedgemalaysia.com/node/734829
5. PAC chastises govt for running foreign worker recruitment system for six years without contract
The Public Accounts Committee (PAC) criticized the six-year operation of the Foreign Workers Centralized Management System (FWCMS) without a signed contract, calling it a breach of procurement rules. Issues included unauthorized access and a delayed agreement with Bestinet Sdn Bhd. The PAC urged contract finalization, adherence to policies, and collaboration with the Human Resources Ministry to avoid inefficiencies.
Source : https://theedgemalaysia.com/node/717693
6. Sim confirms HRD Corp CEO has returned to work despite ongoing MACC probe on agency
Human Resources Minister Steven Sim confirmed that Datuk Shahul Hameed Dawood, CEO of HRD Corp, resumed work after administrative leave following an MACC probe. While Sim emphasized presumed innocence, questions about an independent audit and HRD Corp's alleged mismanagement of RM3.77 billion remain unresolved. Calls for a leadership change persist, but Shahul was defended, awaiting investigation outcomes.
Source : https://theedgemalaysia.com/node/734935
7. Malaysia’s labour shortage due to declining birth rates
Malaysia is grappling with a labour shortage, a challenge compounded by declining birth rates and an ageing population. Over the past five decades, the fertility rate in Malaysia has plummeted from 6.7 children per woman in the 1960s to just 1.6 in 2022. This trend threatens to shrink the labour force, particularly the economically active population aged 15-64, which is crucial for sustaining economic growth.
Source: https://themalaysianreserve.com/2024/11/21/malaysias-labour-shortage-due-to-declining-birth-rates/
8. Selangor to standardise RM1,700 minimum wage
Selangor will implement the federal minimum wage of RM1,700 starting in 2024. The state government plans to collaborate with stakeholders like the Labour Department and the private sector, offering support to MSMEs to adjust. Companies with state contracts must comply, and the government will monitor the policy's impact, providing training on employees' rights to ensure smooth adaptation.
Source: https://theedgemalaysia.com/node/734917
9. RM3 billion fund, various initiatives to boost workers’ skills
The Malaysian Human Resources Ministry has allocated RM3 billion for workforce skills development in 2025, focusing on reskilling, upskilling, and cross-skilling to prepare workers for AI and technological disruptions. The initiative targets 600,000 jobs at risk due to AI, digitalization, and the green economy. A comprehensive "fulfillment strategy" will be introduced to help workers adapt to evolving job market demands.