Guna model Singapura bela pekerja tempatan, kata Wee

Wee Ka Siong, a member of the Barisan Nasional (BN) from Ayer Hitam, has proposed the Malaysian government adopt a Singaporean model of adjusting wages and the quota for foreign workers. In a discussion during the 2027 Budget debate in the Dewan Rakyat, Wee advocated for such a model to enable the domestic market to distinguish wages based on qualifications and skills, which would in turn help increase citizens' incomes.

In Singapore, they utilize a 'local qualifying salary' and a 'dependency ratio ceiling' while allowing foreign workers, but only up to a certain level. Only if the domestic workforce reaches the desired standard will companies be eligible to hire foreign workers. Wee believes that adapting these mechanisms to Malaysia could help set wage standards and potentially boost citizens' incomes.

However, Wee expressed concerns that the proposal could create a two-tier labor market, especially considering that micro, small, and medium-sized enterprises (MSMEs) with annual revenues below RM50 million would be exempt and remain at the lower RM1,700 wage level. He noted that while the exemption on paper might not stop the flow of the labor market, skilled workers would still gravitate towards companies that pay higher wages.

Wee also warned that this two-tier system could lead to talent migration, which could ultimately threaten small businesses whose profit margins are already thin, even as operational costs rise due to increased labor costs, electricity bills, and taxes. Therefore, he urged the government to focus the wage increase on improving productivity rather than just administrative measures.

Wee suggested conducting a study on the impact of the National Wage Consultative Council and setting a deadline for the exemptions for MSMEs, with at least a 12-month notice period. Additionally, he proposed providing a tax deduction for MSMEs that invest in automation and training to raise wages.