PETALING JAYA, Dec 6 (Sin Chew Daily) – Due to rising costs and labor shortage, local companies are having a tough journey ahead to recover their businesses to pre-pandemic levels.

The Federation of Malaysian Manufacturers (FMM) president Tan Sri Soh Thian Lai told Sin Chew Daily Malaysian manufacturers would require approximately an additional 600,000 migrant workers to assist in bringing production back to pre-pandemic levels.

“But one thing for sure is that most businesses are now in a recovery mode, but not yet back to pre-pandemic levels.”

He cited two reasons. Firstly, production was stalled during the lockdowns, resulting in stockpiling of orders.

Secondly, Due to the inability to complete customer orders, many local manufacturers have lost their key customers and orders and now need to fight for new ones.

“Shortage in unskilled workers has impeded the progress of business recovery.”

Meanwhile, SME Association of Malaysia president Ding Hong Sing said rising goods prices and shortage in raw materials and manpower have made it difficult for small and medium-sized businesses in Malaysia to recover.

He said although many economic sectors have now reopened, business remains poor especially during weekdays.

Additionally, SOP implementation, including screening tests for employees and sanitization, has also raised the cost of operation.

He estimated that SMEs in the country would require 20,000 to 50,000 more migrant workers to fill the manpower shortfall.

He told Sin Chew Daily he had made the request to the prime minister on SMEs’ urgent need for migrant workforce.