chapter 6 - Malaysia Productivity Corporation ( MPC)

PRODUCTIVITY PERFORMANCE OF THE MANUFACTURING SECTOR
underpinned by strong output of gasoline, fuel oil,
diesel and gas as well as liquefied petroleum gas.
The resilient growth reflected strong domestic
demand in the transportation sub-sector.
Wearing apparel also demonstrated strong growth
of 7.3% at RM23,485 in value level which was
attributed to greater demand particularly from
Turkey, the Middle East and emerging economies
such as China for high quality garments as a result
of rising household income and wealth (Figure 7.3).
Other industries which recorded growth and high
productivity level were textiles at 6.1% (RM60,100),
pharmaceutical products at 5.0% (RM72,602) and
chemical products at 4.9% (RM243,376). However,
although transport equipment industry recorded a
158
negative productivity growth, its productivity level of
RM114,561 was still higher than the manufacturing
average at RM77,622 (Figure 7.3 and 7.4).
The manufacturing sector continued to maintain
its labour cost competitiveness as productivity
recorded a growth of 2.0% while labour cost per
employee grew by 0.8% with a corresponding
decline in unit labour cost of 1.8% (Table 7.1).
Nevertheless, declined in the unit labour cost was
much higher in 2010 at 3.0%. Highest reduction
in unit labour cost was experienced by refined
petroleum (-9.9%), wearing apparel (-6.5%) and
textiles industries (-4.0%) in 2011. Other subsectors
that experienced reduction include rubber
and plastics products (-3.6%), and chemicals and
chemical products (-3.5%).
Figure 7.5: Changes in Unit Labour Cost of the Manufacturing Sub-sectors and Industries, 2011
REFINED PETROLEUM PRODUCTS
WEARING APPAREL
TEXTILES
RUBBER AND PLASTIC PRODUCTS
CHEMICALS AND CHEMICAL PRODUCTS
FOOD PRODUCTS
PHARMACEUTICAL PRODUCTS
MANUFACTURING
BASIC METALS
BEVERAGES
ELECTRICAL & ELECTRONIC PRODUCTS
PALM OIL
NON-METALLIC MINERAL PRODUCTS
WOOD & WOOD PRODUCTS
FABRICATED METAL PRODUCTS
PRINTING AND REPRODUCTION OF RECORDED MEDIA
PAPER AND PAPER PRODUCTS
TRANSPORT EQUIPMENT
Computed from: Department of Statistics, Malaysia
-12.0 -10.0 -8.0 -6.0 -4.0
Percent
-2.0 0 2.0 4.0
-9.9
-6.5
-4.7
-3.6
-3.5
-2.4
-2.2
-1.8
-1.6
-1.5
-1.4
-1.10
-0.6
-0.3
-0.2
0.7
0.9
2.1