Malaysia

Hiring locals for petrol-station jobs ‘difficult’ in more ways than one

Industry player says migrant employees tend to be more reliable, wages – in view of work scope – not necessarily the issue

Updated 4 years ago · Published on 06 Oct 2021 9:00AM

Hiring locals for petrol-station jobs ‘difficult’ in more ways than one
There are over 1,000 Shell petrol dealers nationwide, most of which prefer to employ locals, says the Shell Petroleum Dealers’ Association Malaysia president. – The Vibes file pic, October 6, 2021

by A. Azim Idris

KUALA LUMPUR – Malaysian labour for petrol stations nationwide is scarce despite employers’ willingness to hire locals, said an industry group.

While the Covid-19 pandemic has brought about unemployment, Shell Petroleum Dealers’ Association Malaysia president Datuk Abd Wahid Bidin said members find it difficult to hire Malaysians due to a host of factors.

This is among the reasons behind calls for the government to allow leeway for the sector to hire migrant workers, he told The Vibes.

He said there are currently more than 1,000 Shell petrol dealers nationwide, most of which prefer to employ locals.

However, there is a trend of high turnover among them, and low interest in working petrol-station jobs.

On average, said Wahid, each station requires six to eight workers, but there is a shortage of two or three staff at each outlet.

Although calls have been made to prioritise locals, he suggested that a more pragmatic solution is for petrol dealers to have a mixed workforce that includes non-citizens.

Citing personal experience, he said migrant workers tend to be more reliable.

Our problem with some Malaysians is work attendance, and sometimes, we have no choice but to entertain their attitude.

“The turnover is high. Sometimes, they even resign within days of learning the planograms, the cash-register system, how to identify fake notes and so on.

“We still need migrant labour because we are assured that they show up for work consistently, and they can go on working for years without taking sick leave.”

He said not all Malaysian workers are problematic, but at least half of those hired by petrol dealers have shown disciplinary issues.

Shell Petroleum Dealers’ Association Malaysia president Datuk Abd Wahid Bidin notes that most petrol stations are making an effort to appeal to customers by offering value-added services, such as wiping vehicle windows and checking tyres. – Datuk Abd Wahid Bidin pic, October 6, 2021
Shell Petroleum Dealers’ Association Malaysia president Datuk Abd Wahid Bidin notes that most petrol stations are making an effort to appeal to customers by offering value-added services, such as wiping vehicle windows and checking tyres. – Datuk Abd Wahid Bidin pic, October 6, 2021

Both migrant and local workers have a starting monthly salary of around RM1,200 before added incentives, with cashiers earning about RM1,500, he said.

With the incentives, he said, staff can earn RM2,000 or more, so the matter of wages, given the job scope, is not necessarily the problem.

Barely breaking even

Although many sectors have reopened in stages in accordance with the National Recovery Plan, Wahid said petrol dealers are only now breaking even on operations, while those in low-traffic areas are making a loss.

He said the costs of operating a petrol station average RM1,100 to RM1,200 daily, but during the virus lockdown, these outlets would generate only RM200 a day.

As more sectors open up, he said, the stations are earning about 75% of their operational costs, or merely breaking even.

"But this does not involve the stations not located on major road arteries or those near major exits.”

Failed self-service policy

Wahid’s remarks followed an opinion piece carried by The Vibes recently, in which commenter Baharuddin Mohd Isa said petrol stations are among the first places to control the spread of Covid-19.

Baharuddin said the self-service policy at petrol stations introduced by the government nearly 25 years ago is not being adhered to, and that locals should be prioritised for jobs at these stations.

Highlighting their woes, The Vibes last week reported that petrol dealers have urged the government to intervene as they believe foreign oil companies are squeezing them on rental charges.

Sources familiar with the matter said foreign firms are planning to increase rent despite dealers suffering lower revenue due to Covid-19 travel restrictions.

The Workforce Recalibration Programme is not focused solely on jobs at petrol stations, says the MTUC deputy president. – Bernama pic, October 6, 2021
The Workforce Recalibration Programme is not focused solely on jobs at petrol stations, says the MTUC deputy president. – Bernama pic, October 6, 2021

Wahid said most stations, regardless of brand, are making an effort to appeal to customers by offering value-added services, such as wiping vehicle windows and checking tyres.

“The self-service concept is not practised as it was back in the early 2000s, and at times, there are customers who do not want to alight from their vehicles. But there are also instances where attendants need to assist those with special needs and the elderly.”

Another solution to the manpower shortage is for the government to consider legalising non-citizens without valid working visas who are presently in the country, so that there is no need to have them arrive from abroad, he said.

Study why certain jobs don’t attract locals

Malaysian Trades Union Congress (MTUC) deputy president Mohd Effendy Abdul Ghani said a total of 145,830 undocumented migrants have registered with the Workforce Recalibration Programme since last November, of whom 72,324 opted for repatriation, with the rest seeking legal work status in the country.

The government in return collected RM35.1 million in compounds and special-pass payments, he said.

“Based on this information, MTUC is of the opinion that with the programme’s implementation, the opportunity to employ local workers is slightly affected in the current situation.

“Almost all sectors have been asked to provide opportunities to local workers. And this (programme) will not be focused only on jobs at petrol stations, but also others.”

He said MTUC urges Putrajaya to conduct a comprehensive study on whether locals are choosy when it comes to jobs, or if the salaries offered are not commensurate with the cost of living.

“This study should be done to avoid the public perception that local workers are demanding or lazy, or that it’s just an excuse used by the government and employers.

At this juncture, the current environment requires citizens to be open-minded about any type of employment in order to survive. Therefore, blue-collar jobs should be respected and valued.

“As long as society’s mindset is not changed, employers have no choice but to continue relying on migrant workers to meet the demands of the industry, for the economic survival of all.” – The Vibes, October 6, 2021

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