High Dependency on Foreign Workforce in Malaysian Construction Industry

Abstract

Shortage of local involvement and high demand for labour in Malaysian construction industry led to the domination of foreign workers in the construction sector. However, Malaysia is now facing with numerous economic, socioeconomic, and political problems because of these foreign workers. The existence of foreign workers in this situation could result in social problems, an increase in crime, and a higher percentage of unemployment for locals. Considering these circumstances, the objective of the research is to identify the impacts of high dependency on foreign workforce in the Malaysian construction industry. The questionnaire survey was chosen as the research methodology to accomplish the research objective. The respondents for this research were G7 contractors within Petaling, Selangor. The data was analysed by using SPSS software and presented in tabulation form. Based on the data collected indicate that the existence of illegal workers has a significant impact on high dependency of foreign workforce in the Malaysian construction industry. The information gained from this research is expected to aid the country in its attempts to lessen the dependency on foreign labour in the construction industry and further support in raising the employment rate of local workers.