RHTLaw Taylor Wessing’s Managing Partner, Tan Chong Huat, shares his views on the tightening of foreign workers in The Business Times’ column, Views from the Top.
The article was first published on 25 February 2019.
Gear up to be transformed
This week’s topic: How will tightening foreign worker hiring impact firms in the services sector? What’s a viable long-term solution to the services industries’ manpower challenges?
Source: The Business Times
Date: 25 February 2019
Tan Chong Huat
RHTLaw Taylor Wessing LLP
In preceding years, the Dependency Ratio Ceiling (DRC) has been progressively tightened for sectors such as manufacturing, construction and marine shipyard. For these sectors the benefits of automation and investment in less-labour intensive business processes are reasonably apparent.
However, it seems that the “heat” is now being turned up on the services sector. Unlike the earlier-mentioned industries, the application of technology and automation to the services businesses may not always yield obvious and immediate benefits. Therein I believe lies the challenge. The services sector is still at the end of the day people-centric, and the challenge is how we can successfully harness technology and AI to complement and enhance the delivery of services by human beings, to fellow human beings.