What does Malaysia aim to achieve by restructuring foreign worker management?

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Malaysia Aims for Coordinated and Efficient Foreign Worker Management System

Malaysia intends to achieve a more coordinated, efficient, and industry-aligned foreign worker management system through a comprehensive restructuring initiative. This effort aims to enhance the system's integrity while carefully balancing the demands of various industries, national security imperatives, and the need to create employment opportunities for the local Malaysian workforce. The government is committed to a strategic review of foreign labour requirements, ensuring they are directly responsive to actual industry needs.
Streamlining Coordination and Efficiency

The restructuring initiative is designed to create a more coordinated and efficient framework for managing foreign workers. This includes reviewing the membership and terms of reference of the Cabinet Committee on Foreign Workers to ensure a more cohesive approach. The One Stop Centre for Foreign Worker Management will be placed under the supervision of the Ministry of Human Resources, centralising oversight and streamlining administrative processes.
Balancing Industry Needs with National Interests

A core objective of the restructuring is to achieve a delicate balance between the needs of industries for foreign labour and broader national interests. This involves ensuring that the management system upholds integrity and national security. Simultaneously, the government aims to create and protect employment opportunities for Malaysians, ensuring that foreign worker intake complements, rather than displaces, local talent.
Strategic Review of Labour Requirements

The government plans to implement a more strategic approach to assessing foreign labour requirements. This means that future decisions on foreign worker intake will be based on a thorough evaluation of the actual, demonstrable needs of specific industries. This move away from a less strategic approach is intended to ensure that foreign workers are brought in only where there are genuine skill or labour shortages that cannot be met domestically.
Reducing Reliance on Foreign Workers

Concurrently, Malaysia remains committed to a long-term strategy of reducing its overall reliance on foreign workers. This commitment is being pursued through multiple avenues, including efforts to increase the participation of the local workforce in the economy, strengthening the skills and capabilities of Malaysian workers, and accelerating the adoption of automation across industries. These measures are aimed at fostering a more self-sufficient and skilled domestic labour market.

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What does Malaysia aim to achieve by restructuring foreign worker management?

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