Groups urge government to fix construction industry problems

JOHOR BARU: Groups involving construction companies are urging the government to take immediate action to address the issues plaguing the country’s building and construction industry.

In a joint statement on Friday August 12, Johor Master Builders Association, Malacca Builders Association, Perak Contractors Association and Penang Master Builders said more efforts were needed due to the difficult economic landscape.

They said the focus was on problems during the Covid-19 pandemic period, but said more effort was needed to deal with the aftermath of the post-pandemic era.

They urged the government to extend the application of the Variation in Pricing Policy (VOP), which currently only applies to government projects.

The groups called for the VOP to also be extended to private projects to create a sustainable business environment for builders.

A price variation clause (VOP) allows a portion of any additional cost to be passed on to customers, and similarly, any reduction in cost will also be passed on.

Another issue raised was the process for hiring foreign workers.

“The locals are not keen on working in the construction industry and the industry has to depend on foreign workers,” they said.

They said this had made the requirement to publish job vacancies superfluous.

The associations have also urged streamlining the application and approval process for foreign workers for the construction industry process so that it takes two weeks.

They added that despite the various announcements made on the arrival of foreign workers since last year, these generally do not arrive on time.

“There is a shortage of 550,000 to 600,000 workers in the construction industry, causing delays in many public and private sector projects,” the statement read.

The associations felt that it was time for construction stakeholders to take the necessary steps and look for ways to better improve the construction and building industry in Malaysia.

Comments are closed.