Getting bigger: An indication of PENANG's EMPLOYMENT OPPORTUNITIES is the expansion plans of OSRAM Opto Semiconductors, which has signed a deal to expand its plant, shown here in a file photo.
It's Buzzing Up North
While large-scale hiring is not happening, 'strategic hiring' is offering job opportunities.
IT's good news for job seekers in the engineering field, especially in Penang.
Recruitment firm Rober Walters Malaysia recently indentified the state as a hub for semiconductor and electrical and electronics (E&E) manufacturing with more foreign direct investment (FDI) focusing on the north of the country this year.
"In Penang and Kulim (Kedah), there's a lot of buzz. We're confident of growth," said Sally Raj, managing director of Robert Walters, when announcing that the company will open its second office in Penang this year.
"Riding on Penang's anticipated ICT and E&E growth, our focus will be on engineering, manufacturing, procurement and supply chain sectors," she adds.
Advising job seekers to keep options open and move to where the growth is, she says: "Don't get stuck in the 'I only want to work in the Klang Valley' mindset."
Malaysian American Electronics Industry chairman Datuk Wong Siew Hai points out that Penang has always been a semiconductor and E&E hub. It has grown and diversified with some expansion slated for this year. Large scale hiring, however, is not expected; rather, the key phrase is "strategic hiring", he says.
"Yes, there are pockets of hiring, especially in design development, to fill critical positions and work on new projects in areas like automation and cloud computing."
This still doesn't mean it's easy to get a job in Malaysia - you have to be the "right talent and a right fit", he stresses.
Malaysian Employers Federation executive director Datuk Shamsuddin Bardan says Johor, Malacca, Penang, Sarawak and Selangor accounted for 88.5% of total approved investments in the country last year.
The approved manufacturing projects translated to over 50,000 job opportunities with 33.9% in experienced, highly skilled jobs, including in the areas of E&E, mechanical and chemical engineers, and skilled craftsmen, he says.
Zooming in on Penang, he says a well-developed local supply chain, established infrastructure, and a supportive ecosystem have contributed to the state's reputation as a global hub for E&E.
"Employment opportunities will grow with foreign investment. While there have been retrenchments in some E&E companies, there is no massive retrenchment exercise in Penang despite some mergers and acquisitions activity."
Penang Freight Forwarders Association (PFFA) vicechairman P. Kalimuthu welcomes the Robert Walters forecast as about 70% of its business is semiconductor and E&E related. Based on last year's 3% contraction of cargo handled at Penang International Airport, PFFA had predicted growth in the industry would be flat this year.
"If the semiconductor and E&E industry is expected to be robust, of course we'll be very happy because it forms a large chunk of our industry. Hopefully, instead of another contraction, we'll see an expansion."
PFFA president Krishnan Chelliah, however, predicts minimal growth - if any at all. It's still a challenge for industry players, he says. The shrinking ringgit benefits exporters but the global slowdown, especially in China, will impact growth, he feels.
InvestPenang director Datuk Lee Kah Choon says the E&E sector is cyclical like most businesses. And it's very much tied to the general global economic growth. With a subdued general global forecast, the E&E sector will most likely maintain its current growth momentum. The depreciating ringgit is also a positive factor - at least in the short term if manufacturers are exporting in US dollars.
"Investment in Penang has been consistent over the years. It's a favourite destination for investors looking for a strong E&E supply chain and a talented and trained work force."
He, however, feels we must do more to upgrade our education system. "We must produce an industry-ready and industry-needed workforce," he stresses.
On Thursday, Osram Opto Semicondustors inked a deal with Penang Development Corporation (PDC) to expand its factory in the state. The Penang Government has approved the construction and lease of a RM15.5mil building.
During the event, Penang Chief Minister Lim Guan Eng shared how Penang recorded RM8.2bil in investments in 2014, a 110% increase compared to RM3.9bil in 2013. Between 2008 and 2014, the state recorded investments of RM48.2bil, a 93% increase compared to the period between 2001 and 2007.
Describing the Osram deal as a strategic investment for the state, Lim says the company's expansion will focus on high-skilled business and technology roles which will create high value employment for Penang talent.
Source | The Star Malaysia
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