Hwok-Aun Lee

Affirmative Action in Malaysia: Education and Employment Outcomes since the 1990s

Abstract An important element of Malaysias affirmative action regime has been to expand tertiary education access and upper-level occupational opportunities for the Bumiputera beneficiary group. However, the momentum of change has dwindled in recent years; Bumiputera representation in managerial and professional positions remained fairly static across 1995-2005. This paper provides a framework for conceptualising affirmative action and outlines Malaysias affirmative action programmes in education and employment. It compiles evidence of affirmative action outcomes from official publications and various surveys, and derives new information from census data. Tertiary education quantitatively burgeoned from the 1990s, but the growing importance of educational quality adversely affects Bumiputera graduates, who predominantly enrol in less regarded domestic public institutes. In addition, Bumiputera continue to rely heavily on the public sector for employment in managerial and professional positions. The findings demonstrate a critical need to arrest the quality decline in public education and to judiciously modify affirmative action programmes.

From Asian to Global Financial Crisis: Recovery Amidst Expanding Labour Precarity

Abstract This article outlines the labour impacts and social consequences of the 1997–98 Asian financial crisis and 2008–09 global financial crisis on Southeast Asia. Both had adverse consequences on output, employment, income and poverty in the region, although the impact of the global financial crisis was much less severe compared to the Asian financial crisis. Economies recovered quickly from both crises. However, labour markets continue to be characterised by informal, vulnerable and precarious employment. The crises and the ensuing efforts of employers to resort to increased flexibility in labour hiring in both crisis and recovery periods fanned labour protests despite the diminutive size of the trade union movement and the underdeveloped system of industrial relations in most countries. In turn, these protests have triggered national and regional debates on rules for labour contracting, minimum wage adjustments and social protection. These debates have remained unresolved even as the region is gearing up for fuller economic integration in 2015 labelled as the ASEAN Economic Community.

Industrialization and labour in Malaysia

Although increasing globalizations spurred rapid industrialization in Malaysia, this article shows that the lack of significant technological upgrading and structural change has caused the premature plateauing of manufacturing, stemming from failures to coordinate policies, enforce standards, sustain high productivity growth and stimulate transition to higher value-added activities. Manufacturing as a whole has registered slow wage growth since the late 1990s, with labour markets characterized by heavy presence of low-skilled foreign workers, increased contract labour and outsourcing and declining worker organization. The focus on perspiration-based low-skilled foreign labour rather than on expanding professional and skilled labour has driven Malaysia down the low industrialization road. The Malaysian experience reflects a case of manufacturings importance and direct contribution to the economy contracting before recording high levels of value added and sustained productivity growth, and with labour market practices constraining instead of facilitating positive change.

History of microfinance in Bangladesh: A life cycle theory approach

Abstract This study aims to conceptualise and document the historical evolution of microfinance in Bangladesh using the life cycle theory (LCT). Based on the LCT nomenclature, the microfinance sector in Bangladesh shows characteristics broadly consistent with the saturation phase (2006–2015) – which potentially has adverse impacts on both microfinance clients and institutions. The maturity phase (1996–2005) of microfinance has corresponded with competition and several innovations (financial and non-financial). However, the saturation phase sees increasing presence of uncoordinated microfinance institutions and expansion of multiple borrowing, as well as commercialisation and ‘mission drift’, which constitute important challenges for the regulatory authority and management of microfinance institutions.

Affirmative Action Regime Formation in Malaysia and South Africa

This paper examines the formation of majority-favouring affirmative action (AA) regimes in Malaysia and South Africa. Malaysia’s Constitution premises AA on a group’s special position; South Africa’s refers to unfair discrimination. Malaysia established AA amid continuation of a political order and consolidation of executive power, while South Africa democratized and transitioned from minority to majority rule. Minority groups held less economic power in Malaysia than in South Africa. Consequently, AA in Malaysia is characterized by discretionary decision-making, and quota-based, centralized programmes, whereas South Africa has followed a legislative route involving negotiation and enforcement of target-based, statutory requirements, under less centralized oversight.

Affirmative Action in Malaysia and South Africa: Contrasting Structures, Continuing Pursuits

This paper examines affirmative action in Malaysia and South Africa, two regimes that favor majorities. Malaysia’s highly centralized and discretionary programme is in contrasts with South Africa’s more democratized, decentralized and statutory structure. With regard to affirmative action outcomes, both countries have made quantitative gains in increasing representation of Bumiputeras in Malaysia and blacks in South Africa, in tertiary education and high-level occupations. However, there is also evidence to suggest continuing, primarily qualitative, shortfalls, in terms of graduate capability, dependence on public sector employment, and persistent difficulty in cultivating private enterprise. The results reported here emphasize the importance of implementing affirmative action effectively in education, while exercising restraint in employment and enterprise development.