Construction Labor & Safety Weekly (May 12–19, 2025)
LEVIES & LANE LINES: Malaysia Tightens Labour Costs while Raising the Guard-Rails
Two policy waves crested this week: the Human Resources Ministry confirmed details of a multi-tier levy system that will make excessive foreign-worker hiring more expensive, while DOSH released a sweeping Working-at-Height Guide that pushes every contractor to prove risk assessments, collective protections, and rescue plans are in place. Add fresh immigration raids, pending prosecutions, and a high-profile worker-rights dispute, and both HR desks and safety teams have plenty to digest.
Feature Stories
Top Labour Story – Multi-Tier Levy to Reshape Workforce Strategy
On 16 May the Human Resources Ministry clarified that the long-awaited Multi-Tier Levy Mechanism (MTLM) has finished stakeholder rounds and is now headed for Cabinet approval after a final Joint Working Group (JWG) with Bangladesh in Dhaka on 21-22 May.
How it works: each company will be given a sector-specific migrant-to-local ratio. Hiring above that ratio triggers sharply higher levy bands; revenue will be ring-fenced for skills-upgrading of Malaysians.
Why it matters: construction already leans on foreign labour for up to 30 % of on-site roles, so tier thresholds could pinch margins—or push firms toward automation, BIM-prefab methods and TVET up-skilling.
Next steps: HR leaders should audit present head-counts, project 18-month labour needs, and prepare data-driven justifications before quota renewals reopen later this year.
Top Safety Story – DOSH’s New “Working-at-Height” Guide (14 May)
DOSH has scrapped the old “10-foot rule” and replaced it with a risk-assessment-first framework that mirrors UK WAHR best practice. Key take-aways:
Eliminate height work where practical; else segregate and barricade.
Collective protection (guard-rails, safety nets, MEWPs) trumps personal fall-arrest.
Competency proof—employers must document that every worker aloft is trained, experienced, and medically fit.
Daily inspection logbooks for scaffolds, platforms, weather, and anchor points must be kept on site.
Rescue planning is mandatory; “call the fire brigade” is no longer acceptable.
Falls remain the leading cause of construction fatalities—DOSH data shows 38 % of 2024 deaths stemmed from falls, slips or trips. Embedding the new checklist in toolbox talks will demonstrate due diligence if inspectors arrive.
Field Reports
Labour Nuggets
Bangladeshi “Stranded List” Cleared – Malaysia agreed on 15 May to admit 7,964 vetted Bangladeshi workers who missed last year’s deadline, ending months of limbo and signalling better bilateral screening to curb recruitment scams.
Retaliation at Glove-Mould Factory – Migrant workers at Mediceram Sdn Bhd claim a colleague’s permit was revoked after he spoke to Bangladeshi officials about withheld wages; up to 60 others fear deportation. The case underscores the need for credible whistle-blower channels on any project that sub-contracts to glove-sector suppliers.
Safety Nuggets
Immigration Raid in Cyberjaya – Ops Sasar officers detained 129 undocumented workers at a mixed-use high-rise project on 7 May; some hid in unfinished wall cavities. Immigration warned that companies risk quota suspensions and prosecution for harbouring illegals.
DOSH “Prosecution & Compound” Bulletin (5–12 May) – The department listed multiple new charges, including a RM35 k fine for a contractor that failed to install scaffold toe-boards after a two-storey fall. Use the bulletin as a compliance scorecard during site audits.
#SayaJanjiSelamatSihat Pledge Drive – DOSH launched a campaign to gather 350,000 digital safety pledges ahead of the August ASEAN Worker Safety Summit. Display the QR poster in site canteens; it doubles as a morale booster and visible proof of management commitment.
CIDB Insight: Skills Gap Still Bites – A new CIDB article projects 6.1 % sector growth for 2025 but flags skilled-trades shortages and rising material costs as twin threats, urging firms to adopt prefabrication and BIM to lift productivity and safety simultaneously.
Pro-Tip Corner
Safety Tip – “Two-Minute Tether Rule”: before anyone ascends a ladder or scaffold, require a two-minute peer check—clip integrity, anchor point rating, and free-fall clearance. Two minutes today saves a lifetime tomorrow.
HR Insight – Map Your Levy Risk: build a simple spreadsheet that recalculates monthly foreign-worker percentages by trade (structure, MEP, finishing). Add projected hires for Q3/Q4 projects; flag months where you breach the draft MTLM ratios so you can adjust recruitment lead times or accelerate local trainee programmes.
Final Thought
When payroll discipline meets rigorous hazard control, projects stay on schedule and on budget—and people go home whole. Align your levy strategy with your safety culture: recruit responsibly, train continuously, and guard every edge. Compliance isn’t a box-tick; it’s the scaffolding of a world-class industry.