Brunei minister highlights labour turnover challenges in private sector


Minister at the Prime Minister’s Office and Minister of Finance and Economy II Datuk Seri Setia Dr Awang Amin Liew Abdullah speaks at the 21st LegCo meeting. - Photo: Borneo Bulletin/ANN

BANDAR SERI BEGAWAN: Labour turnover remains a prevalent issue in Brunei’s dynamic and competitive job market, similar to other countries where employees seek better opportunities in terms of benefits, workplace environment, and career prospects.

However, frequent job changes pose challenges to business operations in the private sector, said Minister at the Prime Minister’s Office and Minister of Finance and Economy II Datuk Seri Setia Dr Awang Amin Liew Abdullah, during the 21st Legislative Council (LegCo) meeting Thursday (March 20).

Responding to a query on the Manpower Planning and Employment Council (MPEC) raised by Datuk Seri Setia Awang Abdul Rahman Ibrahim, the minister highlighted findings from the Employer-Based Survey (EBS) conducted by the Prime Minister’s Department (PMO) through MPEC last year.

The study, which gathered responses from over 500 companies, revealed that more than 60 percent of employers faced challenges in retaining local employees, as many opted for better-paying jobs with greater career advancement opportunities.

A similar trend was observed in a survey on job-hopping among job seekers.

To address labour turnover, companies have taken steps such as enhancing work environments, offering competitive salaries and benefits, and recognising employee contributions.

These initiatives are crucial in attracting and retaining local talent, as tackling the issue requires collaboration beyond government efforts alone.

On wages, the government has introduced the Employment (Minimum Wage) Order 2025 to ensure fair compensation and employment practices in the private sector.

The order currently applies to seven industries—Banking and Finance; Info-Communication Technology; Securities; Tourism and Accommodation; Architecture, Professional Engineering, Surveying and Land Surveying; Medical and Dental; and Private Higher Education—with plans for future expansion.

Phase One monitoring by the Labour Department indicates that local employees have benefited from the Minimum Wage Order, with salaries adjusted to prescribed levels, some exceeding BND500 per month.

In Phase Two, around 700 workers are expected to receive salary increases to meet the minimum threshold, with the full impact becoming clearer after enforcement through company declarations and employment agreement submissions.

The minister underscored that the minimum wage serves as a basic salary benchmark rather than a competitive pay standard.

He urged employers to offer attractive salary packages to retain skilled talent, emphasising that competitive remuneration plays a key role in workforce stability.

The EBS also found that over 35 per cent of employers struggling with retention cited employees resigning without notice.

The minister called on job seekers to uphold professional work ethics, including transparent communication with employers, to maintain their industry reputation and improve future career prospects.

To enhance career development in the private sector, the Salary Guideline Edition 2023 has been introduced to help companies determine competitive salaries and career progression paths.

This effort is further supported by competency frameworks such as the Brunei ICT Industry Competency Framework (BIICF), which facilitates structured career growth, encouraging local talent to pursue private sector careers.

Employers and employees are also encouraged to leverage upskilling and reskilling programmes, including SkillsPlus, the SPIN Programme in Accounting, and the HSE Competency Apprenticeship Programme by JobCentre Brunei, to enhance their skills and employability.

While job-hopping is often seen as a challenge, the minister acknowledged that it can also reflect positive career aspirations.

Employees may seek better opportunities when advancement is limited within their current organisations.

Moreover, as Brunei’s economy diversifies, increased labour market competitiveness may drive higher recruitment costs.

The minister urged continued support from all stakeholders in addressing labour turnover, ensuring a skilled workforce that enhances the private sector’s competitiveness in line with national economic development goals. - Borneo Bulletin/ANN

 

 

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