KOTA KINABALU: A mandatory foreign worker training scheme could cost Sabah’s plantation sector about RM23mil in a single applicable cycle, industry groups warned as they called for the requirement to be reviewed.
The Malaysian Palm Oil Association (MPOA) Sabah Branch, East Malaysia Planters’ Association (EMPA) and Malaysian Estate Owners’ Association (MEOA) said the RM300 e-LESTARI fee imposed on every affected foreign worker could translate into a substantial recurring cost for employers.
The joint statement was issued on Friday (Oct 2) by MEOA chairman Ahmad Zachary Anifah Aman, EMPA chairman Datuk Syaheddrul R Joddari and MPOA Sabah Branch chairman Asrif Mahmud.
With 76,726 registered foreign workers employed in Sabah’s plantation sector, one full applicable cycle would amount to an indicative direct cost of RM23.02mil.
For a plantation company with 5,000 affected workers, the bill would reach RM1.5mil in one applicable cycle, the associations said.
They stressed that the calculations were illustrative and did not mean every worker would necessarily be subject to the fee simultaneously, but showed the scale of the potential financial exposure.
The groups are urging the Sabah government to reconsider mandatory implementation of the Sistem Latihan Pekerja Asing (SLPA) through the e-LESTARI platform, particularly its RM300 per worker fee and its link to the issuance and renewal of the Licence to Employ Non-Resident Workers.
"The issue goes beyond RM300.
"The more fundamental concern is the creation of an additional mandatory compliance layer that carries a substantial recurring cost and is tied to an existing regulatory licensing process," the statement read.
Under the implementation framework, completion of SLPA training is required before the employment licence can be issued or renewed, while subsequent training is expected to contain updated content during later licensing cycles.
The associations said plantation employers already invest substantially in worker induction, occupational safety and health, employment compliance, responsible recruitment and other workplace training.
They acknowledged that e-LESTARI aims to improve worker awareness and safety and help prevent exploitation, forced labour and trafficking in persons.
However, they questioned whether the additional benefits justified another mandatory recurring charge.
The groups said employers whose existing training programmes already meet the required learning outcomes should have those efforts recognised instead of being subjected to an additional compliance layer.
MPOA, EMPA and MEOA called for further engagement with affected industries and a more proportionate framework that recognises existing employer programmes, demonstrates measurable additional value and avoids unnecessary regulatory costs.
