Publication: Malaysia Economic Monitor, December 2015: Immigrant Labour
Loading...
Published
2015-12
ISSN
Date
2016-01-05
Author(s)
Editor(s)
Abstract
Growth moderated throughout 2015, affected by a slowdown in private consumption and weak export growth. The authorities have generally managed the downturn in commodity prices and the financial market volatility with a reasonable mix of macro policies. Heightened external volatility calls for prudent macro policies and acceleration of structural reforms. The eleventh Malaysia plan stresses the importance of effective migration management to achieve high-income country status by 2020. Immigration continues to play a crucial role in Malaysia’s development. While job growth has recently been concentrated in high-skilled occupations, three quarters of all jobs in Malaysia are still low- and mid-skilled. Econometric modelling suggests that immigrant workers can raise gross domestic product (GDP) and create employment for Malaysians. The current process for sourcing immigrant workers is complex and costly for the migrant. The immigration system can better meet the country’s development objectives if it is aligned with Malaysia’s human resource development strategy. Global experience shows that successful immigration systems recognize the long-term role of immigrant workers in the hosting country’s economic and social objectives if they are: (a) market-driven, with immigration flows aligned with labor market demands; (b) comprehensive, acknowledging the need for immigrants of all types; and (c) balanced, minimizing the negative impacts on Malaysian workers, and protecting immigrant workers from abuse.
Link to Data Set
Citation
“World Bank Group. 2015. Malaysia Economic Monitor, December 2015: Immigrant Labour. © World Bank. http://hdl.handle.net/10986/23565 License: CC BY 3.0 IGO.”
Associated URLs
Associated content
Other publications in this report series
Journal
Journal Volume
Journal Issue
Collections
Related items
Showing items related by metadata.
Publication Labor Market Inequalities in FYR Macedonia(Washington, DC, 2015-06)The study includes an analysis of inequality patterns in terms of labor force participation as well as a review of policy responses, and areas for possible further policy action. In particular, the report looks at the two main dimensions of inequality that characterize Macedonia’s labor market: gender and ethnicity. Almost half the female working age population is inactive, whereas male inactivity is considerably lower. Labor market outcomes also vary significantly with ethnicity. In particular, a strong interaction exists between gender and ethnicity, with ethnic minority women forming a particularly vulnerable group. Hence, it is worthwhile to investigate in more detail how gender and ethnicity shape the Macedonian labor market, and how public policy could be used to increase labor market participation and job opportunities for women and ethnic minorities. This report is organized as follows. First, the report describes the main characteristics of the Macedonian labor market, emphasizing the most important patterns of inequality in terms of labor market participation (section two). Section three addresses the possible causes of these inequality patterns. Section four discusses potential policy responses and concludes.Publication Shaping the Future : A Long-Term Perspective of People and Job Mobility in the Middle East and North Africa(Washington, DC, 2009-01)The objective of this study is to provide a long-term perspective for the ongoing policy dialogue on the management of labor migration in Europe and the Middle East and North Africa (MENA) countries. It is organized as follows. Chapter one puts the report and migration in the context of the economic and social development in MENA countries. Chapter two provides the historical context of MENA migration patterns and an overview of the presence and skill characteristics of migrants in Organization for Economic Co-operation and Development (OECD) countries today. This chapter also discusses the potential for insourcing, that is, migration of jobs into the region as an alternative or complement to labor migration. Chapter three analyzes the demand and supply framework for migration, the determinants of migration patterns, and the potential demand for labor in the European Union (EU), and the characteristics and trends of MENA labor supply. Chapter four looks to the worldwide impact of demographic and labor force developments in the decades ahead and their implications on labor and job mobility. The chapter analyzes the likely population and labor force growth in Europe and MENA, the challenges this growth poses, and the scope for demographic arbitrage between the two regions. This chapter provides the basis for the fifth and concluding chapter. Chapter five covers the institutional setup and the various economic and social protection policies and practices worldwide that have a strong and positive bearing on migration flows and presents a conceptual framework on both the labor and job sending and receiving sides that can be used by policy makers to articulate, defend, and implement a collaborative approach to the challenges ahead.Publication In Search of Opportunities : How a More Mobile Workforce Can Propel Ukraine’s Prosperity (Vol. 2 of 2) : Technical Report(Washington, DC, 2012-05)Ukrainians do not move often, and when they do move, they don't necessarily go to areas with good jobs and high wages. Internal mobility is about half of what is expected when comparing Ukraine with other countries. The lack of mobility is remarkable, given the availability of more jobs and better wages in several Ukrainian cities. Too few people are taking advantage of economic opportunities, and as a result, Ukraine's structural transformation has stalled. This is a sharp contrast to many other countries in Eastern Europe, where the transition to a market economy has been accompanied by a shift from widely-dispersed industries to a concentration of capital and production in a few areas, and from low- to higher-productivity sectors. Labor has largely mirrored the movement of capital and production. In Ukraine, however, labor is not flowing as smoothly to areas of high production. This report examines the mobility of workers inside Ukraine and their willingness to physically relocate from one area or region to another in search of better economic opportunities. The report explores the patterns and trends of labor mobility in Ukraine as well as the drivers and constraints of that mobility, and derives policy implications from its findings. Second chapter of this volume offers evidence of how a mobile workforce benefits the economy. It shows how the economic transition in most of Eastern Europe has been accompanied by the significant concentration of capital and people in a few areas. This has not happened to the same extent in Ukraine. Third chapter shows that what little migration we see in Ukraine is not necessarily going to the leading regions. For internal migration to lead to growth and better living standards, workers have to move to the areas of the country where productivity and therefore, wages are high, and where unemployment is low. Third chapter more over examines the factors that prevent Ukrainians from moving. Fourth chapter offers recommendations for creating greater labor mobility in Ukraine. It explains how addressing the institutional bottlenecks that affect internal mobility will allow more people, especially the poor, to access better jobs, accelerating growth and enabling living standards to rise.Publication Low Female Labor Force Participation in Sri Lanka : Contributory Factors, Challenges and Policy Implications(Washington, DC, 2013-01)Even though Sri Lanka is a fore-runner in many human development dimensions and aspects of gender equality amongst the South Asian countries, it is similar to other South Asian countries when it comes to women's participation in economic activities. Female labor force participation has not changed much in recent decades and remained stagnant at a rate around 30 to 35 percent of working age women. This rate is much lower than one would expect given the educational attainment of the female population in Sri Lanka. In order to encourage increased women s participation in economic activities, the first condition is to understand what is keeping them out of the scene. This paper analyzes the underlying reasons behind low participation rates of women in economic activities. It also investigates the employment outcomes, occupational choice, rates of returns, and skills set of economically active women in comparison with men to identify and understand the gaps. The findings have been used to suggest potential policies and programs that can help remove some of those barriers and encourage and enable women to become more economically active in the labor market.Publication Armenia : Promoting Productive Employment(Washington, DC, 2012-09)This paper examines labor market outcomes in Armenia and their impact on poverty. The outcomes are of considerable concern: relatively few persons of working age are employed, and many of those who are employed have low-productivity jobs. The problem is not only high unemployment, but also low labor force participation. The main factor behind the low employment/population ratio is weak labor demand and the scarcity of productive job opportunities. This paper begins in section one by discussing the main labor market challenges in Armenia, before focusing on unemployment in section two. Section three analyzes the nature of employment and jobs, while section four examines wage determination and structure. Section five then evaluates the relationship between individuals' and households' labor market status and poverty. Finally, section six concludes with policy implications of the analysis. In order to reach the 60 percent employment rate Armenia would need to create an additional 166,000 jobs. This will lead to a 14 percent increase in employment, and to some decrease in unemployment. More jobs need to be created to absorb the growing labor surplus. This implies growing unemployment and a decline in the already low employment rate. Accelerating the pace of job creation is thus one of the main social challenges facing policymakers in Armenia. Furthermore, it is important that in the longer term, wage growth does not exceed labor productivity growth. Otherwise, competitiveness of the Armenian economy could suffer due to a growth in the unit labor cost, which in turn, can have a detrimental effect on job creation.
Users also downloaded
Showing related downloaded files
Publication Morocco Economic Update, Winter 2025(Washington, DC: World Bank, 2025-04-03)Despite the drought causing a modest deceleration of overall GDP growth to 3.2 percent, the Moroccan economy has exhibited some encouraging trends in 2024. Non-agricultural growth has accelerated to an estimated 3.8 percent, driven by a revitalized industrial sector and a rebound in gross capital formation. Inflation has dropped below 1 percent, allowing Bank al-Maghrib to begin easing its monetary policy. While rural labor markets remain depressed, the economy has added close to 162,000 jobs in urban areas. Morocco’s external position remains strong overall, with a moderate current account deficit largely financed by growing foreign direct investment inflows, underpinned by solid investor confidence indicators. Despite significant spending pressures, the debt-to-GDP ratio is slowly declining.Publication World Development Report 2006(Washington, DC, 2005)This year’s Word Development Report (WDR), the twenty-eighth, looks at the role of equity in the development process. It defines equity in terms of two basic principles. The first is equal opportunities: that a person’s chances in life should be determined by his or her talents and efforts, rather than by pre-determined circumstances such as race, gender, social or family background. The second principle is the avoidance of extreme deprivation in outcomes, particularly in health, education and consumption levels. This principle thus includes the objective of poverty reduction. The report’s main message is that, in the long run, the pursuit of equity and the pursuit of economic prosperity are complementary. In addition to detailed chapters exploring these and related issues, the Report contains selected data from the World Development Indicators 2005‹an appendix of economic and social data for over 200 countries. This Report offers practical insights for policymakers, executives, scholars, and all those with an interest in economic development.Publication Argentina Country Climate and Development Report(World Bank, Washington, DC, 2022-11)The Argentina Country Climate and Development Report (CCDR) explores opportunities and identifies trade-offs for aligning Argentina’s growth and poverty reduction policies with its commitments on, and its ability to withstand, climate change. It assesses how the country can: reduce its vulnerability to climate shocks through targeted public and private investments and adequation of social protection. The report also shows how Argentina can seize the benefits of a global decarbonization path to sustain a more robust economic growth through further development of Argentina’s potential for renewable energy, energy efficiency actions, the lithium value chain, as well as climate-smart agriculture (and land use) options. Given Argentina’s context, this CCDR focuses on win-win policies and investments, which have large co-benefits or can contribute to raising the country’s growth while helping to adapt the economy, also considering how human capital actions can accompany a just transition.Publication Classroom Assessment to Support Foundational Literacy(Washington, DC: World Bank, 2025-03-21)This document focuses primarily on how classroom assessment activities can measure students’ literacy skills as they progress along a learning trajectory towards reading fluently and with comprehension by the end of primary school grades. The document addresses considerations regarding the design and implementation of early grade reading classroom assessment, provides examples of assessment activities from a variety of countries and contexts, and discusses the importance of incorporating classroom assessment practices into teacher training and professional development opportunities for teachers. The structure of the document is as follows. The first section presents definitions and addresses basic questions on classroom assessment. Section 2 covers the intersection between assessment and early grade reading by discussing how learning assessment can measure early grade reading skills following the reading learning trajectory. Section 3 compares some of the most common early grade literacy assessment tools with respect to the early grade reading skills and developmental phases. Section 4 of the document addresses teacher training considerations in developing, scoring, and using early grade reading assessment. Additional issues in assessing reading skills in the classroom and using assessment results to improve teaching and learning are reviewed in section 5. Throughout the document, country cases are presented to demonstrate how assessment activities can be implemented in the classroom in different contexts.Publication Digital Africa(Washington, DC: World Bank, 2023-03-13)All African countries need better and more jobs for their growing populations. "Digital Africa: Technological Transformation for Jobs" shows that broader use of productivity-enhancing, digital technologies by enterprises and households is imperative to generate such jobs, including for lower-skilled people. At the same time, it can support not only countries’ short-term objective of postpandemic economic recovery but also their vision of economic transformation with more inclusive growth. These outcomes are not automatic, however. Mobile internet availability has increased throughout the continent in recent years, but Africa’s uptake gap is the highest in the world. Areas with at least 3G mobile internet service now cover 84 percent of Africa’s population, but only 22 percent uses such services. And the average African business lags in the use of smartphones and computers as well as more sophisticated digital technologies that catalyze further productivity gains. Two issues explain the usage gap: affordability of these new technologies and willingness to use them. For the 40 percent of Africans below the extreme poverty line, mobile data plans alone would cost one-third of their incomes—in addition to the price of access devices, apps, and electricity. Data plans for small- and medium-size businesses are also more expensive than in other regions. Moreover, shortcomings in the quality of internet services—and in the supply of attractive, skills-appropriate apps that promote entrepreneurship and raise earnings—dampen people’s willingness to use them. For those countries already using these technologies, the development payoffs are significant. New empirical studies for this report add to the rapidly growing evidence that mobile internet availability directly raises enterprise productivity, increases jobs, and reduces poverty throughout Africa. To realize these and other benefits more widely, Africa’s countries must implement complementary and mutually reinforcing policies to strengthen both consumers’ ability to pay and willingness to use digital technologies. These interventions must prioritize productive use to generate large numbers of inclusive jobs in a region poised to benefit from a massive, youthful workforce—one projected to become the world’s largest by the end of this century.