Kuala Lumpur: A new survey reveals that Malaysian firms are grappling with the implementation of inclusive employment practices, particularly in supporting women and caregivers in the workforce. As the nation’s workforce ages and labor force growth slows, these practices are seen as essential for economic resilience.

According to World Bank, women are significantly underrepresented in Malaysia’s workforce, constituting only 47% of employees across various firms. Their presence is notably lower in sectors such as construction, agriculture, and manufacturing, and in high- and mid-level positions, especially within large firms and those located in the eastern and central regions.

While flexible work arrangements are gaining popularity, many companies face challenges in implementation, particularly concerning productivity, cohesion, and supervision. Childcare benefits are recognized as critical, with over half of the firms offering such benefits, including flexible work schedules or on-site daycare. However, the facilities are often at full capacity, with waiting lists reaching up to 40 children.

The Malaysian government has introduced several measures to promote workplace inclusivity. Further enhancements could bolster these programs, such as refining TalentCorps Career Comeback Program by tailoring support based on returnees’ skills and experience levels, incorporating strategies for managing productivity in the Flexible Work Arrangement Guidelines, and expanding tax incentives for childcare centers to include alternative care arrangements. Moreover, systematic monitoring and evaluation, along with conducting gap analyses for initiatives with lower-than-expected uptake, are recommended.

While government measures are essential, firm-level initiatives are equally significant in promoting inclusiveness. These could include extending mandatory paternity leave and introducing family leave. Importantly, it is crucial to design inclusive workforce policies that do not solely focus on women, as a balanced approach avoids stigmatization and ensures that hiring women is not perceived as a higher-cost decision.