Malaysia’s brain drain is intensive, not necessarily because of too many are leaving the country but because the skills base is too narrow. This is aggravated by the lack of compensating inflows, since the skill profile of immigrant is Malaysia is geared to the low end. The intensity of the brain drain is mitigated by the fact that a substantial share of the skilled diaspora acquired their education overseas, lowering the fiscal costs for Malaysia but also making it less likely for them to return as they spent their many years abroad. To overcome the brain drain issue, Malaysia needs to understand and tackle the underlying determinants of brain drain. Individual respond to incentives and discentives, these are the push and pull factors that drive the migration decision.
When Paul attempted to retrieve HR metrics, he found the data was either not available, or difficult to retrieve and analyze. The company’s main problem that is causing a lack in production is retention and turnover. In addition to causing a lack in production, turnover is a very costly problem. HR must focus on employee turnover and retention to gain an understanding of problem areas that are causing talented employees to leave. Sharlyn Lauby, president of the consulting firm ITM Group Inc., stated, “With unemployment continuing to drop, recruiting is getting tougher and organizations cannot afford to just go hire someone else—companies need to understand why employees stay and what causes them to leave” (Maurer, 2017).
Market failure means that resources can not fully play a role, may be caused by price monopoly, but also may be because the market utilization is low, this situation will cause revenue decline or failure of the market. For example, With the development of science and technology, more and more enterprises in order to improve the production efficiency by automatic machine instead of manual operation, the labor demand decreased gradually, more and more people are faced with the problem of unemployment, employment difficulties to become a common problem all over the world and not easy to control. This is the resource oversupply. People have a high demand for public goods, the demand far exceeds the amount of production, it reflects a country 's welfare level, but the problem with society development have contradiction(Steven G. Medema 2007.). Merit goods refer to the price of goods or services to bring the benefits of more than the value of themselves, the purchase of such goods or services should be subsidized even free, such as education or medical care, long-term considerations its value must be greater than itself.
2) Weakness: 2.1 How to control costs and increase productivity are two very important things to do, but Johannsen Steel Company was in a situation: The company failed to keep its traditional strength. As the case mentioned: “the percentage of these high-quality/high-margin sales to total sales continued to decrease”. Johannsen Steel Company focused more on expanding its market share. It succeeded in this area but failed to obtain more profits along with increased sales. Several JSC product innovations appearing is not significant 2.2 Financial integration without a proper set of preconditions/producing goods against customer wants might lead to few growth benefits and more output and consumption volatility.
Firstly, those working would have to pay higher taxes as there are less people within the workforce. This would also increase the pressure of the working class who already has to support their elderlies. Secondly, there will be a shortage of workers. Companies who need people desperately looks for alternatives like foreign works. There are currently 63,900 vacancies within Singapore that needs to be filled but the current locals aren’t able to reach this demand.
Such statistics are able to be seen in Brunei because foreign labour rate is cheaper than the local workforce, which leads to a significant number of locals being left unemployed. Apart from the cost of foreign labour being cheaper, employers from private or public sectors preferred to employ foreign workers because, they are reliable, a considerable number of them may be multi – skilled in various fields and also they are on working permit which prohibits them from leaving anytime they want. According to Haji Ismail Duraman (2011) about 5000 Bruneians are unemployed and yet over 40,000 foreigners work here in Brunei. Thus, unemployment rate in Brunei is currently rising due to sectors demanding for cheap foreign labours and the increase in number of foreigners coming into Brunei seeking for jobs. Nevertheless, foreigner cannot be said to be replacing local people.
Shrinking labour force are also due to the rapid technological change. Rapid technological change will leads to a shortage of workers with needed skills. The employees neither had time nor chance to put resources into these abilities. Another clear reason for the shrinking workforce is the low birth rates and the higher life expectancy among countries since 2000, which influence straightforwardly on the creation, standard of life and social security. Less individuals joining the workforce is likewise one reason for the decreasing labour force.
It also creates more poverty among the less fortunate, and their families, because they are unable to find a job they are unable to support their families as well. Unfortunately not everyone has the funds to invest in all these technological advances. While technology may be benefiting the richer people, these circumstances highly affect those from lower classes. Professor Jeffrey D. Sachs argues the following on his discussion of the benefit on economic growth and technology. “The world is living through one of the greatest technological revolutions in history: the digitization of communications, manufacturing, computing, synthetic biology, nanotechnology and much more.
(2011:255) contend that the performance of construction workers is fundamentally reliant on training and labourer motivation. Inadequate labourer training in the road maintenance (construction) sector may add to the construction skills shortage. Subsequently, lack of skills of construction labour forces which could bring about reworks, lower pace of work and negatively influence general construction execution (Soham and Rajiv 2013:455; Durdyev et al. 2012:5). Dai et al.
The key to an ageing is adapting to the challenges that a country could face. One economic disadvantages are about working. An Ageing population has a direct impact on the labour market, since improvements in life expectancy could result in many remaining in work longer. Adapted from Singapore Department of Statistics (DOS) Old-Age support Ratio Evidently enough causes huge problem as the younger generations required to work harder and longer to keep the economic growth. Even having foreign workers doesn’t contribute adequate enough.