BFM: Moving Forward with Challenges in Migration Issues

The US State Department released its annual Trafficking in Persons (TIP) report earlier this month, and in it was a damning development: Malaysia was downgraded from Tier 2 Watch List to Tier 3. The downgrade essentially suggests that the country has failed to fulfil the minimum labour standards and is not putting significant effort to do so.

An important issue for sure, BFM invited Segi Enam principal Khor Yu Leng to discuss the matter: Moving Forward with Challenges in Migration Issues.

COVID-19 has complicated migration, with a pause being put on migrant labour flows, and concerns about how this could worsen the problem of human trafficking. First, we find out how the pandemic has affected migration trends in the region. Then, we discuss Malaysia's downgrade to Tier 3 in the US State Department’s Trafficking in Persons report, and how this affects businesses. And finally, we hear what it’s like for migrants here in our country.

Image Source: John Salvino, Unsplash; produced by: Loo Juosie, Kelvin Yee, Azlyna Mohd Noor; presented by: Lee Chwi Lynn, Sharmilla Ganesan

The APPGM-SDG Multi-stakeholders Conversation: Building Local Economy in Urban Areas

On 29 April 2020, Segi Enam Advisors attended a Zoom talk on using the local economy as platform to support vulnerable communities in the urban areas, namely the B40 and migrants. Hosted by the All-Party Parliamentary Group Malaysia-Sustainable Development Goals (APPGM-SDG), the talk highlighted the socio-economic issues faced by the two groups, with many of these problems aggravated by the spread of the coronavirus. It also explored the possibilities on how to cushion the blow the virus has had on the livelihoods of the B40 and migrants as well as the steps to stimulate the economy once the pandemic is over.

Several interesting points that stood out during the talk are as follows:

1. Low-cost flats intended to house the urban poor community should fulfil the social needs and livelihood of its residents, i.e. well-equipped facilities and reasonable distance from cities and townships where most residents are employed.

2. A community of “new poor” has emerged, i.e. individuals who have fallen into poverty due to a loss of income during the Movement Control Order (MCO) but were not qualified for financial aid prior to that loss of income.

3. The possibility of using the One Tambun One Product (OTOP) model implemented in Thailand, a local entrepreneurship stimulus programme supporting unique locally made and marketed products within each tambon (sub-district) across the country.

Coronavirus Impact on Food and Markets via Migrant Workers?

New developments amid Malaysia’s Covid-19 recovery phase: several markets in Kuala Lumpur and Selangor areas—namely the Selayang Wholesale Market, the Taman Megah wet market, the PJ Old Town wet market, and the Raja Bot market—have recently been temporarily closed down following reports of coronavirus infections. Interestingly, 10 foreign workers told to self-quarantine on 25 March after being found to have attended the Seri Petaling Mosque tabligh event were employed at the Selayang Wholesale Market. There are also rumours of uncertainties with regard to the testing results and SOPs for operating food markets.

The domino effect of market closures seems to have parallels with the meat packing plants in the US, where employees often work in close quarters under difficult environments; the infection rate around the plants were found to be 75% higher than that of other US counties. In an official statement dated 23 Apr 2020, the United Food and Commercial Workers (UFWC) International Union disclosed that 13 processing plants have closed in the past two months, impacting over 24,500 workers (one-third of the US meatpacking industry are immigrants) and resulting in a 10% and 25% reduction in beef and pork slaughter capacity. USDA data reflects this reduced capacity, showing a decline of 27% and 20% in beef and pork processing respectively compared to this time in 2019. Various problems abound for the industry, including farmers considering euthanizing their animals to avoid overcrowding.

Migrant worker populations may be a common theme here. In 2018, Khor Reports has previously analysed Malaysia’s structural reliance on foreign labour based on 2016 data, which showed that Sabah’s share of foreign labour was the highest in the country at about 37%, followed by Selangor at 11%. An update on the most recent data will be conducted in due course.

Returning to the Covid-19 situation, in the case of the Malaysian capital’s wholesale market, approximately 16,000 Pusat Bandar Utara residents have been placed under a two-week Enhanced Movement Control Order (EMCO) from 20 April, with around 90% of residents comprising foreigners. That being said, the Malaysian Health Director General reiterated that screening for foreign workers will be done on a targeted approach on high risk groups, and that screening for all six million workers is not possible.

Source: https://twitter.com/MelGohCNA/status/1254700504539488256

Interestingly, this latest statement on the number of foreign workers affirms our previous estimate of six million workers in 2018, which was derived from official and industry comments as seen in our report preview below.

A preview of our 2018 analysis report. Note our estimate of six million foreign workers, both documented and undocumented, in Malaysia at the bottom right.

The news has given rise to alarming hostility on social media against the Rohingya community—there were even online petitions urging the government to deport Rohingyas from Malaysia, with one purportedly garnering 200,000 signatures and was later removed after being reported as hate speech. The PN leadership has yet to address and reflect on their current policy regarding Myanmar refugees and the de facto open migrant policy.

While the virus problem has brought down air pollution (and may even be one of the drivers behind lower meat consumption), experts have warned that it could be only temporary, especially if no concerted efforts follow after the outbreak dies down. But the issue it has wrought for poor migrant communities may be longer lasting; integration and social cohesion have been identified to be potential issues in future thanks to the growing discrimination and scapegoat attempts—aggravated by misinformation and fake news—against these communities.

Think tank: Counting Migrant Workers in Malaysia

Published by ISEAS - Yusof Ishak Institute (ISEAS): "Counting Migrant Workers in Malaysia:  A Needlessly Persisting Conundrum” by Hwok-Aun Lee  and KHOR Yu Leng is now out and downloadable... https://www.iseas.edu.sg/images/pdf/ISEAS_Perspective_2018_25@50.pdf

Features #KhorReports geo-data analytics and estimates on foreign worker ratio by district. 

#Malaysia #Labour #Data #DataScience