Keanjalan Buruh-Output dan Keperluan Pekerja Asing dalam Sektor Pembuatan di Malaysia

Translated title of the contribution: Elasticity of labour-output and foreign workers requirement for manufacturing sector in Malaysia

Rahmah Ismail, Norsarah Yasmin Norzaki, Mohd Nasir Mohd Saukani

Research output: Contribution to journalArticle

Abstract

The objective of this article is to analyze labour-output elasticity of foreign workers for the whole manufacturing sector and by the selected manufacturing sub-sectors in Malaysia. Based on the value of the elasticity, projection of foreign workers requirement in year 2020 is made. Foreign workers are classified into three categories; professional foreign workers (management, professional and executive level), technical foreign worker (technical and supervisory level) and general workers (clerical, production operators and others). The analysis is based on data of Industrial Manufacturing Survey from the Department of Statistics Malaysia at 5 digits levels according to Malaysian Standard Industrial Classification (MSIC) for the period of 1990-2010. Seemingly Unrelated Regression (SUR) is used to estimate the demand for foreign workers models by three job categories. The study finds that the elasticities of labour-output for the whole manufacturing sector are positive for all job categories of foreign workers but the results vary by subsectors. The projection of the foreign workers for 2020 demonstrates that the professional foreign workers, technical foreign workers and general foreign workers are expected to increase by 10.5 percent, 8.3 percent and 10.0 percent respectively. The implication from this finding is that the government has to increase the supply of local labour for these three categories that tailored to the requirement of the manufacturing sector to lessen the dependency on foreign workers.

Original languageMalay
Pages (from-to)3-14
Number of pages12
JournalJurnal Ekonomi Malaysia
Volume51
Issue number1
DOIs
Publication statusPublished - 2017

Fingerprint

Elasticity
Malaysia
Manufacturing sector
Labor
Workers
Manufacturing
Seemingly unrelated regression
Operator
Government
Statistics

ASJC Scopus subject areas

  • Business, Management and Accounting (miscellaneous)

Cite this

Keanjalan Buruh-Output dan Keperluan Pekerja Asing dalam Sektor Pembuatan di Malaysia. / Ismail, Rahmah; Norzaki, Norsarah Yasmin; Mohd Saukani, Mohd Nasir.

In: Jurnal Ekonomi Malaysia, Vol. 51, No. 1, 2017, p. 3-14.

Research output: Contribution to journalArticle

@article{815b5d72fcb5413c87186bb7275d2f38,
title = "Keanjalan Buruh-Output dan Keperluan Pekerja Asing dalam Sektor Pembuatan di Malaysia",
abstract = "The objective of this article is to analyze labour-output elasticity of foreign workers for the whole manufacturing sector and by the selected manufacturing sub-sectors in Malaysia. Based on the value of the elasticity, projection of foreign workers requirement in year 2020 is made. Foreign workers are classified into three categories; professional foreign workers (management, professional and executive level), technical foreign worker (technical and supervisory level) and general workers (clerical, production operators and others). The analysis is based on data of Industrial Manufacturing Survey from the Department of Statistics Malaysia at 5 digits levels according to Malaysian Standard Industrial Classification (MSIC) for the period of 1990-2010. Seemingly Unrelated Regression (SUR) is used to estimate the demand for foreign workers models by three job categories. The study finds that the elasticities of labour-output for the whole manufacturing sector are positive for all job categories of foreign workers but the results vary by subsectors. The projection of the foreign workers for 2020 demonstrates that the professional foreign workers, technical foreign workers and general foreign workers are expected to increase by 10.5 percent, 8.3 percent and 10.0 percent respectively. The implication from this finding is that the government has to increase the supply of local labour for these three categories that tailored to the requirement of the manufacturing sector to lessen the dependency on foreign workers.",
keywords = "Elasticity of labouroutput, Foreign general workers, Foreign professional workers, Foreign technical workers, Manufacturing sector",
author = "Rahmah Ismail and Norzaki, {Norsarah Yasmin} and {Mohd Saukani}, {Mohd Nasir}",
year = "2017",
doi = "10.17576/JEM-2017-5001-1",
language = "Malay",
volume = "51",
pages = "3--14",
journal = "Jurnal Ekonomi Malaysia",
issn = "0126-1962",
publisher = "Penerbit Universiti Kebangsaan Malaysia",
number = "1",

}

TY - JOUR

T1 - Keanjalan Buruh-Output dan Keperluan Pekerja Asing dalam Sektor Pembuatan di Malaysia

AU - Ismail, Rahmah

AU - Norzaki, Norsarah Yasmin

AU - Mohd Saukani, Mohd Nasir

PY - 2017

Y1 - 2017

N2 - The objective of this article is to analyze labour-output elasticity of foreign workers for the whole manufacturing sector and by the selected manufacturing sub-sectors in Malaysia. Based on the value of the elasticity, projection of foreign workers requirement in year 2020 is made. Foreign workers are classified into three categories; professional foreign workers (management, professional and executive level), technical foreign worker (technical and supervisory level) and general workers (clerical, production operators and others). The analysis is based on data of Industrial Manufacturing Survey from the Department of Statistics Malaysia at 5 digits levels according to Malaysian Standard Industrial Classification (MSIC) for the period of 1990-2010. Seemingly Unrelated Regression (SUR) is used to estimate the demand for foreign workers models by three job categories. The study finds that the elasticities of labour-output for the whole manufacturing sector are positive for all job categories of foreign workers but the results vary by subsectors. The projection of the foreign workers for 2020 demonstrates that the professional foreign workers, technical foreign workers and general foreign workers are expected to increase by 10.5 percent, 8.3 percent and 10.0 percent respectively. The implication from this finding is that the government has to increase the supply of local labour for these three categories that tailored to the requirement of the manufacturing sector to lessen the dependency on foreign workers.

AB - The objective of this article is to analyze labour-output elasticity of foreign workers for the whole manufacturing sector and by the selected manufacturing sub-sectors in Malaysia. Based on the value of the elasticity, projection of foreign workers requirement in year 2020 is made. Foreign workers are classified into three categories; professional foreign workers (management, professional and executive level), technical foreign worker (technical and supervisory level) and general workers (clerical, production operators and others). The analysis is based on data of Industrial Manufacturing Survey from the Department of Statistics Malaysia at 5 digits levels according to Malaysian Standard Industrial Classification (MSIC) for the period of 1990-2010. Seemingly Unrelated Regression (SUR) is used to estimate the demand for foreign workers models by three job categories. The study finds that the elasticities of labour-output for the whole manufacturing sector are positive for all job categories of foreign workers but the results vary by subsectors. The projection of the foreign workers for 2020 demonstrates that the professional foreign workers, technical foreign workers and general foreign workers are expected to increase by 10.5 percent, 8.3 percent and 10.0 percent respectively. The implication from this finding is that the government has to increase the supply of local labour for these three categories that tailored to the requirement of the manufacturing sector to lessen the dependency on foreign workers.

KW - Elasticity of labouroutput

KW - Foreign general workers

KW - Foreign professional workers

KW - Foreign technical workers

KW - Manufacturing sector

UR - http://www.scopus.com/inward/record.url?scp=85027063211&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=85027063211&partnerID=8YFLogxK

U2 - 10.17576/JEM-2017-5001-1

DO - 10.17576/JEM-2017-5001-1

M3 - Article

AN - SCOPUS:85027063211

VL - 51

SP - 3

EP - 14

JO - Jurnal Ekonomi Malaysia

JF - Jurnal Ekonomi Malaysia

SN - 0126-1962

IS - 1

ER -