JOHOR BARU: The Johor government is negotiating with investors to increase the salary rates for local talents working in companies operating investment areas in the state.

 Menteri Besar Datuk Onn Hafiz Ghazi stated that this initiative aims to attract young people to return home and work in their home state.

He added that this move could also help alleviate congestion at the Johor Causeway at the Sultan Iskandar Building (BSI) and the Sultan Abu Bakar Complex (KSAB) second link.

"With all the infrastructure facilities already in place, the cost of doing business in Johor is also 70 per cent cheaper than in neighbouring countries.

"So, why can't we raise the salaries of our young people? We are negotiating and working towards this.

"For example, in the artificial intelligence sector, the starting salary in Johor is RM4,000, while in Singapore, it is SGD$ 4,000.

"If such a salary can be paid in Singapore, why can't we pay a higher salary in Johor? We are looking into several employment sectors," he said in his speech at the 2024 Johor 2024 mega career programme at the Johor Baru City Council Arena Larkin indoor stadium here yesterday.

On the implementation of the the Johor-Singapore Special Economic Zone (JS-SEZ), Onn Hafiz said the state government will provide all necessary facilities to attract investors to start businesses here, including reducing bureaucracy. 

"Investors only need 12 months from the paperwork stage to the completion of their factories.

"I have negotiated with investor companies from Singapore, United Kingdom, Australia, China and Europe and they are satisfied with the efforts to help them invest here," he said.

In May, Onn Hafiz said JS-SEZ will be developed in the areas of Iskandar Malaysia and Pengerang involving an area of 3,505 square kilometers.  

Onn Hafiz said Johor has proposed 16 economic sectors expected to provide socio-economic benefits, including the electricity and electronics sector; medical; pharmaceuticals; aviation, specialty chemicals; logistics, health and education sectors.

Among others, it also includes the financial sector and business services; energy; digital economy; tourism; food; agricultural technology; creative industry; Halal industry and manufacturing sectors. 

https://www.nst.com.my/news/nation/2024/07/1083213/johor-government-pushes-higher-wages-draw-back-young-talent