Challenges in Hiring Local Manpower and What are the Solutions

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What is Local Manpower?

Local manpower is the supply of labour available in the country, in contrast to foreign manpower which is usually recruited from outside the country. The availability of local manpower for development work depends on its use within the country and labour mobility. The higher these two factors, the greater will be local manpower supply.

Malaysia Local Manpower Supply

The Challenges of Local Manpower Supply in Malaysia

In Malaysia, the population is projected to grow from 29.4 million in 2017 to around 41.3 million by 2030. However, the current manpower supply for this country is not able to meet the labour demand predicted for 2020 and 2030 respectively.



Malaysia is an emerging economy. With rapid development, it has become a growing destination for migrant labour. The country needs to face the challenges of manpower availability in this era of globalization. Malaysia is in dire need of more local talent to fill the demand for skilled labourers and professionals with the right skillsets.



In Malaysia, there is a shortage of skilled and experienced labour to meet the demand of the economy. It is estimated that by 2021, Malaysia will be short of 2 million workers. Challenges faced by companies when recruiting include wage inflation, shortage of skilled labour, competition for foreign. The Government of Malaysia has introduced a number of policies to manage workforce shortage and ensure that Malaysians are not neglected by employers due to the lack of manpower.




What are the Solutions for Local Manpower Supply in Malaysia?

In Malaysia, the low supply of skilled labour from the workforce is a persistent issue. However, there are solutions to overcome this obstacle. Local manpower supply agencies is able to offers a mechanism to reduce cost and time for hiring staff. Moreover, recruitment platforms can be a source of qualified candidates for positions that might not be easily accessible to companies.



Malaysia is going through a period of rapid economic growth and these factors will lead to an increased demand for labour in the next few years. There are many solutions for the lack of manpower supply in Malaysia. Many Malaysian companies are turning to recruitment agencies for a solution. The recruitment agencies have a large pool of local skilled workforce that they can provide, so they are able to meet the requirements of Malaysian companies despite their limitations in looking for manpower locally. There are many benefits that agencies can provide such as increased efficiency and lower costs compared with employing staff directly.

 

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