FWTA must balance Sarawak’s immigration autonomy with business sustainability, says Yap

suppadmin | June 23, 2026

Kota Sentosa assemblyman Wilfred Yap said the Sarawak Foreign Workers Transformation Approach (FWTA) should strike a balance between protecting Sarawak’s immigration autonomy and ensuring the sustainability of businesses operating in the state.

Yap said the FWTA reflects Sarawak’s constitutional rights and immigration autonomy under the Malaysia Agreement 1963 (MA63), allowing the state to retain control over workforce planning and labour requirements in key sectors such as construction, timber, plantations, manufacturing and services.

“Any discussion on FWTA must recognise the importance of preserving Sarawak’s authority over matters that directly affect our economic development,” he said in a statement.

At the same time, he stressed that autonomy must be accompanied by responsiveness to concerns raised by industry players, contractors, small and medium enterprises (SMEs) and business associations.

According to Yap, while stakeholders acknowledged improvements in processing times under the FWTA system, concerns have been raised over compliance costs, annual renewal expenses and additional administrative charges, including those related to medical screenings.

“Businesses are not opposing Sarawak’s autonomy. They are seeking a system that remains efficient, transparent and affordable,” he said.
Yap suggested several measures to improve the system, including reviewing renewal fee structures, reassessing charges that may result in duplicated costs, providing targeted r rebates for SMEs and local contractors, and ensuring collected fees contribute towards workforce productivity and industry competitiveness.

He welcomed the Sarawak Government’s willingness to engage stakeholders and review concerns raised, describing it as a sign of a government that listens and seeks continuous improvement.

“The objective should not be to choose between immigration autonomy and business sustainability. We can and must achieve both,” he said.

Yap added that constructive engagement with employers, workers, industry associations and the public is essential in refining policy frameworks and ensuring Sarawak remains competitive and attractive to investors.