Low-skilled foreign workers constitute a significant portion of the workforce in labour-intensive sectors in the country, with some 2.4 million employed across six formal sectors and one informal sector, the Dewan Rakyat was told.
Human Resources Minister Steven Sim said based on statistics from the Immigration Department, there are 2,470,781 active foreign workers in Malaysia as of Sept 30.
The highest number of foreign workers employed are in the manufacturing sector with a total of 771,327 individuals, followed by construction (698,407), services (448,572), plantation (266,600), agriculture (183,086), domestic helpers (102,037) and mining and quarry (752).
Sim added that his ministry was committed to limiting the involvement of low-skilled foreign workers in all economic sectors.
“This is in line with the government’s policy under the 12th Malaysia Plan, which caps the proportion of foreign workers at no more than 15% of the total national workforce,” he said in response to a question from Datuk Awang Solahuddin Hashim (PN-Pendang), who asked the ministry to reveal the latest figures of foreign workers by sector.
Awang had also asked the ministry its stance on limiting the involvement of foreign workers to specific sectors as well as to reduce reliance on foreign labour while optimising local workforce participation.
To reduce reliance on foreign labour and optimise local workforce participation, several measures had been implemented, including maintaining the decision to freeze new foreign worker approvals.
“This decision supports the policy of limiting foreign labour employment to 15% of the national workforce by 2025,” Sim said.
The minister said effective Jan 1 next year, the government will also implement the multi-tier levy mechanism (MTLM) for all sectors, except plantation and agriculture to reduce dependence on low-skilled foreign workers.
“All regulatory agencies must determine the actual need for foreign workers in their respective sectors and sub-sectors,” he said.
Sim added that the government will continue to enhance training funding under the Human Resource Development Corporation through employer levy contributions to upskill and reskill workers.
