In Kulim, known as ‘Silicon Malaysia,’ rising living costs are overshadowing the semiconductor industry’s promises. Recruiters report a drop in job demand and soaring housing prices, creating a disconnect between government claims and worker realities. Although large investments from companies like Infineon and AT&S signify growth, local residents grapple with affordability issues.
In the bustling industrial zone of Kulim, often branded as ‘Silicon Malaysia,’ the cost-of-living crisis is painfully apparent. Despite the hype surrounding investments in semiconductor factories, local workers face increasing difficulties in affording basic necessities. Azmin, a recruiter in the semiconductor sector, reflects on the situation from a coffee shop nearby, noting a frustrating disconnect between industry optimism and harsh economic realities.
As Azmin opens up about his experiences, he highlights declining job openings, revealing that his last recruitment effort was for only 20 positions. “We haven’t had much demand lately,” he comments, underscoring the lack of growth in job offerings despite the government’s portrayal of a booming industry.
Development in the region has led to rising land prices, changing the landscape dramatically from what was once farmland. The surge in housing costs has not benefitted the workers, who find it increasingly challenging to make ends meet. A property Azmin bought for 95,000 ringgit a decade ago now sees similar homes going for at least 300,000 ringgit. This sharp rise has been a boon for real estate speculators but burdens the average worker, he laments.
The Kulim Hi-Tech Park, set up about 30 years ago to support the semiconductor boom, occupies a vast area that was once used for oil palm plantations. Azmin’s family, recognizing the park’s potential early on, has witnessed high-profile companies like Austria’s AT&S and Germany’s Infineon establish themselves in Kulim.
Infineon, for instance, has committed to a significant expansion of its facility, investing €5 billion (around US$5.6 billion) last year. Similarly, AT&S recently inaugurated a new plant worth 5 billion ringgit (US$1.2 billion) in the same park, showcasing the region’s importance in the global semiconductor supply chain.
In summary, while Kulim is branded as ‘Silicon Malaysia’ and promises economic advancement through semiconductor investments, local workers struggle with skyrocketing living costs. Recruiters like Azmin reveal a disconnect in job availability and suggest that rapid development benefits property speculators rather than the workforce. All in all, the situation highlights the pressing need for balanced growth that addresses the challenges faced by the local community amidst the industry boom.
Original Source: www.scmp.com
