A new guideline for the implementation of flexible working arrangements launched today by the Human Resources Ministry may require employers in certain industries to hire additional staff, as not all industries can adopt and adapt to such a scheme.
Small Medium Enterprise (SME) Association of Malaysia president Chin Chee Seong said businesses in industries that require timely operations, such as manufacturing, retail, or those requiring direct customer interaction, may struggle to implement flexible working hours.
“Flexible working hours may suit certain industries, but for the majority of SME businesses, it may be difficult to implement,” said Chin.
“For instance, if you have a retail outlet in a mall, instead of hiring five staff, you may need seven or more to ensure enough employees are available at any one time.
“One of the reasons the ministry wants to adopt flexible working arrangements is so that workers can have a ‘work-life’ balance. That is important, but what about the ‘work-life’ balance of employers?”
Chin said employers work extra hard to run their businesses as they need to manage cash flow to ensure everyone gets paid on time.
He added that SME businesses are unable to match the benefits offered by government-linked corporations, one of which is flexible working arrangements.
“I know of people who, when attending interviews, state they only want flexible working hours or they will not accept the job. They are the ones dictating,” he said.
“When they are unhappy, they will change jobs. The employers are at the losing end.”
Human Resources Minister Steven Sim, who launched the guideline today, said that 3,000 businesses in Penang, the Klang Valley, and Johor Bahru had attended Talent Corporation Malaysia Berhad (TalentCorp) courses to gain more knowledge about flexible working arrangements, as they are keen to adopt the strategy but were unclear on how to proceed.
According to the new guideline, among the jobs that can implement flexible working arrangements are graphic designers, call centre operators, draftsmen, and computer programmers.
Effective Jan 1, 2023, flexible working arrangements are now permitted under Sections 60P and 60Q of Malaysia’s Employment Act 1955. The new amendments to the law are meant to improve workers’ welfare.
TalentCorp is an agency under the ministry that drives Malaysia’s talent strategy towards becoming a dynamic talent hub.
Sim also said TalentCorp would conduct studies over the next six months among Malaysian companies that have implemented flexible working arrangements to assess productivity.
