[UPDATED] Enforcement of amended Employment Act delayed to Jan 1: Saravanan

KUALA LUMPUR – Human Resources Minister Datuk Seri M. Saravanan has agreed to postpone the enforcement of the Employment (Amendment) Act 2022 from September 1 to January 1, 2023. 

He said the decision was made after discussing with stakeholders who demanded the extension in light of the challenging economic situation. 

“I have also discussed this matter with various relevant ministries and the cabinet has agreed to postpone the implementation to January 1,” he said in a press conference at Wisma HRD Corp here today.

The extension would allow industry players, especially employers, to have more time to get prepared for its requirements, while recovering from current economic woes. 

“They are worried about the enforcement as they currently face shortage of foreign workers, and that (labour) is essential to increase their productivity. In the current situation.

“If we reduce the operating hours, it will affect their income,” he said.

Commenting further, Saravanan said enforcement can be initiated once the problem of the foreign worker shortage is resolved as soon as possible. 

“It has been three years since Malaysia did not bring in any foreign workers. Of course, this matter will take some time.

“But this doesn’t mean we are facing problems with countries which are supplying foreign labour. It’s just that the process of bringing in these workers would take time.

“For instance, there are only seven flights a week from Bangladesh. If there are seven flights, how many employees can we bring in? Maximum only 3,000 people can be brought in (weekly),” he explained. 

Saravanan also highlighted that the ministry is studying a proposal to replace the term “asing” (“foreign”) in reference to migrant workers with something that carries less stigma.

“Even the word ‘asing’ itself, we find it a bit difficult. We are looking at some other name,” he said. 

Hopefully, the three-month extension given is sufficient for employers to prepare before this amendment is implemented. 

On March 21, the Dewan Rakyat approved the Employment (Amendment) Bill 2021, which features improvements in the labour industry, particularly regarding issues surrounding forced labour. It was scheduled to take effect on September 1. 

The amendment includes weekly working hours being reduced from 48 to 45; allowing employees to work flexible hours where they get to choose the location, time and days of work; and an increase in maternity leave from 60 days to 98 days in line with the International Labour Organisation Convention. – The Vibes, August 26, 2022