“The exchange rate these days is about 3.4, which means if they are earning about S$2,000 in Singapore, that’s actually closer to RM7,000, and not many restaurants in Johor can afford to pay chefs half that amount,” he added.
He added that based on his observations, the chefs hired by Singaporean companies are generally those who are more skilled in the trade.
“Those that Singaporean companies target are those who are more skilled and experienced and can generally do the work of two or three people,” said Ang, who is also the co-founder of Grand Sinibong Seafood Restaurant in Masai, Johor. .
“This creates a vacuum in Johor because there are now less skilled chefs in Johor Bahru.”
Mr Ang admitted that the shortage of chefs and waiters in the city has led to longer waiting times and more unpleasant customer experiences.
“Restaurants in Johor Bahru are still very popular, but sometimes due to labor shortages, we are not able to meet the high demand and satisfy all our customers,” he added.
The executive chef, who worked at a JB restaurant before the Covid-19 pandemic and wanted to be known only as Mr Lim, is one example of a Johor native who recently found work in Singapore.
Mr Lim was laid off from his job when the JB restaurant where he worked closed its doors during the coronavirus outbreak. He told CNA that working in Singapore would not only allow him to triple his wages, but would also give him room to grow as a chef.
He found a job posted on Facebook as a chef at a steakhouse in Tanjong Pagar, and started working there in February.
“I haven’t looked back since,” the 42-year-old said. “I believe that working in Singapore opens more doors for me and allows me to work with the best in the region.”
Mr Lim rents a room in an HDB flat in Bukit Merah where it will be convenient to travel to work. He returns home to see his parents in Johor Bahru once a month.
He said that despite the high cost of living in Singapore, the better salary he received still made financial sense.
“In Singapore, I pay more for rent, food and transportation than I do in Johor Bahru. But the higher salary covers these expenses and leaves me with more disposable income to pay for things I want to spend on,” Mr Lim added.
Johor companies must close salary gap with Singapore to at least two-thirds: Deputy Minister
Economist Lee Heng Gwei, executive director of the Center for Social and Economic Research, a think tank, told CNA that both the federal and Johor state governments will have to address the root causes of the issues by increasing the income of local workers over a longer period. – Term approach.
He proposed implementing a scheme similar to Singapore’s Progressive Wage Model (PWM) which seeks to raise the salaries of low-income workers in the Republic by developing their skill sets through a career progression plan agreed by the government, union and companies.
Malaysia currently applies a minimum wage model. In May, the country’s minimum wage was raised from RM1,200 to RM1,500.
The most important difference is that PWM motivates employees to seek a pay increase by upgrading their skills, Mr. Lee said.
“But employers need to upskill and reskill their employees; adopt sustainable and inclusive business practices – a work-life balance culture. Employees must commit to self-development to improve their skills and enhance their employability.”
Deputy Minister Liew told CNA that Johor would be better able to retain its workforce if it was able to offer salaries that were about two-thirds of what is offered across the bridge. This can be achieved, especially in the manufacturing sector, he said.