The Business Times
business-time-50
Asean Business logo
SPONSORED BYUOB logo

Misconception to think Johor-Singapore SEZ will provide cheap labour, says SMF

Malaysia’s labour authorities expect incoming businesses to pay wages that are two-thirds of the Republic’s levels, says SMF president Lennon Tan

Summarise
google-preferred-sourceAdd BT as a preferred source
Low Youjin

Low Youjin

Published Wed, Aug 27, 2025 · 08:18 PM
    • Singapore Manufacturing Federation president Lennon Tan says that SMF will work with the Singapore government’s newly established Joint Project Office, which serves as a one-stop centre for firms entering the JS-SEZ.
    • Singapore Manufacturing Federation president Lennon Tan says that SMF will work with the Singapore government’s newly established Joint Project Office, which serves as a one-stop centre for firms entering the JS-SEZ. PHOTO: TAY CHU YI, BT

    [SINGAPORE] Manufacturers should not assume that the Johor-Singapore Special Economic Zone (JS-SEZ) will provide access to significantly cheaper labour, said Singapore Manufacturing Federation (SMF) president Lennon Tan.

    Malaysia’s labour authorities expect incoming businesses to pay wages that are about two-thirds of those in Singapore, or roughly RM5,000 (S$1,528), he noted in an interview with The Business Times. 

    “People think Johor offers cheap labour and cheap land,” he pointed out. “Cheap land, yes, compared to Singapore. But cheap labour, no – Malaysia does not welcome labour-intensive industries.” 

    Asia-PacificJohor-Singapore SEZSingapore manufacturingSingapore manpower

    TRENDING NOW

    Vincent Tan, founder of Berjaya Group, has reduced his holdings in multiple companies within the group.

    Malaysian tycoon Vincent Tan’s sell-downs point to pruning rather than an exit plan

    Altitude Xperience argued that the rooftop space in contention was not considered an unused space.

    Simba ordered to pay S$700,000 in damages to indoor skydiving operator Altitude Xperience for trespass

    Some industry watchers wonder if Orchard Road can hold its own next to competing retail destinations, both global and local.

    What’s wrong with Orchard Road? Experts weigh in on the street’s cachet and its future

    Singapore continues to be an important market for big luxury houses, such as Hermes and Chanel.

    As luxury retail goes big, can Singapore’s Orchard Road keep up? 

    Latest T-bills Treasury Bills Results & Interest NewsLatest SSB Singapore Savings Bonds NewsLatest COE Certificate of Entitlement News
    Latest Johor-Singapore SEZ NewsLatest BTO Build To Order & Sales of Balance NewsLatest STI Straits Times Index NewsLatest SGX Dividends, Share Price NewsLatest Bonds Market NewsLatest Singapore Stocks To Buy NewsLatest Singapore Economy News
    View More