As Johor’s youth look to S’pore for higher pay, state govt hopes SEZ will stem brain drain

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As Johor’s youth look to S’pore for higher pay, state govt hopes SEZ will stem brain drain
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The CEO of Invest Johor has suggested that starting salaries in the SEZ can be set at between RM4,000 and RM7,000.

Johor’s state government had said it hopes that the setting up of the JSSEZ and the SFZ will help address the manpower situation.

Higher wages in Malaysia’s southernmost state has been flagged by Johor officials as a key tool for it to attract and retain talent, and tackle the brain drain into neighbouring Singapore. This issue has become more prominent as plans for the Johor-Singapore Special Economic Zone and The area houses data centres, technology parks and manufacturing hubs, with global tech players like Nvidia already setting up operations there and Microsoft planning a data centre in Kulai.

Mr Derek Tan, a business development manager for a logistics firm in Senai, is a case in point. The 32-year-old studied at primary and secondary schools in Singapore, attended college in the UK, and later returned to Malaysia to work. Ms Lee says she earns RM3,000 a month but spends more than 80 per cent of her earnings supporting her parents and on monthly expenses such as rent, utilities and daily necessities.

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