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Electronic Labour eXchange
Ministry of Human Resource
Malaysia

The Problem

Jabatan Tenaga Kerja (JTK) is very honour to be nominated for the above. We hope that our ELX can contribute fully to the citizen of Malaysia, especially in ensuring an extensive exhaustive search for local talent.

Hence, the local talent workers can be fully utilized and more transparent system could be implemented.

Solution and Key Benefits

 What is the initiative about? (the solution)
ELX has provided the locals with more opportunities for employment and has reduced the dependency on foreign labours. Ministry’s Job Clearing System (JCS) under the ELX programme had registered more than 75,869 vacancies.

A total 93,217 people in search of jobs were currently registered with the Labour Department. Employers are urged to go to the ministry’s Internet portal Electronic Labour Exchange (eLX) (www.elx.gov.my) to register the vacancies also available for disabled persons, especially in the manufacturing and services sectors.
Since 1996, more than 6,000 disabled people had been placed in various companies in the private sector. More than 60% of the registered 130,000 disabled people were suitable for employment.
According to Human Resources Minister Datuk Seri Dr Fong Chan Onn, about 25% of job vacancies in various industries have been filled by Malaysians via the Electronic Labour Exchange (ELX) system. Bulks of jobs were taken in the construction and services sectors. Overall, it was a testament to the success of the ELX system in matching prospective employers with employees that this would help reduce dependency on foreign workers. Employers must post their vacancies on the ELX to ensure that employers gave jobless Malaysians priority over foreigners in employment.

Actors and Stakeholders

 Who proposed the solution, who implemented it and who were the stakeholders?
The ELX, which started operating in May 2002, was designed to effectively match job seekers with vacancies over larger geographical areas. As of 30 November 2006, 108,211 job seekers and 29,585 employers had registered. During that period, 419,866 vacancies were posted via the application, resulting in 15,781 jobs matched.

ELX has fully rolled out at Ministry of Human Resource, involving all states and district offices of Manpower & Labour Department of 105 sites.

(a) Strategies

 Describe how and when the initiative was implemented by answering these questions
 a.      What were the strategies used to implement the initiative? In no more than 500 words, provide a summary of the main objectives and strategies of the initiative, how they were established and by whom.
ELX was officially launched by the Minister of Human Resources, Datuk Dr. Fong Chan Onn on 30 May 2002 where all three applications in ELX were released for the intended users. Especially through the Job Clearing System (which is one of the three ELX applications) which offers free-of-charge job matching services for the Malaysian public and employers, the Government hopes that the objectives of improving the mobilisation of the nation's human resources and optimising the utilisation of manpower through the systematic matching of job seekers to job vacancies can be achieved.

(b) Implementation

 b.      What were the key development and implementation steps and the chronology? No more than 500 words
The ELX project consists of three core application systems, namely the Job Clearing System (JCS), the Labour Market Database (LMD) and the Office Productivity Support System (OPSS). The contract to implement this project was signed on 21 November 2000 between the Ministry of Human Resources (MOHR) and Solsis (M) Sdn Bhd. The project is planned for completion within 14 months with the implementation plan being divided into two phases. Phase I that is to be implemented over 10 months involves the development, installation and implementation of the application in MOHR and the headquarters and state offices of the Labour Department and Manpower Department. Phase II involves the implementation of ELX in the offices of the Labour Department and Manpower Department at the district level. Phase II has a four month implementation period. The seven major activities of the project are business process reengineering, site preparation, system development, change management, data migration and conversion, transfer of technology and training. ELX is to be a one-stop center for Malaysian Labour market information that is accessible electronically.

(c) Overcoming Obstacles

 c.      What were the main obstacles encountered? How were they overcome? No more than 500 words
Job Clearing System (JCS) is an automated online job matching system provided by the Ministry of Human Resources. It is one out of the three core modules under the Electronic Labour Exchange (ELX). The system was launched by the Minister of Human Resources, YB Datuk Dr. Wira Fong Chan Onn on the 30th of May 2002.
JCS provides facilities for job seekers to seek suitable jobs and for employers to get their right candidates. Job seekers can do online job application while employers can manage the applications using JCS. All these facilities are accessible to all levels of users with no charge.
The objectives of the system are as follows:
• To improve the mobilization of the nation's human resources and to ensure that manpower utilization is optimized through the systematic matching of job seekers to job vacancies.
• To be a one-stop centre for labour market information that will be accessible to the public, both locally and overseas, including Malaysian students studying abroad and potential foreign investors.

(d) Use of Resources

 d.      What resources were used for the initiative and what were its key benefits? In no more than 500 words, specify what were the financial, technical and human resources’ costs associated with this initiative. Describe how resources were mobilized
The scope of ELX project is wider than others job seeking portal. ELX not only matches vacancies against job seekers, it goes beyond that. It enables the submission of complaints from workers and employers and of because labour cases and their investigations. It also provides a labour market database that resolves the mapping and consolidation of labour market data from various internal and external sources.
In short, it is a one-stop centre for labour information that will be accessible to the public both locally and abroad. Employers who register with ELX are not charged a fee as it required by others job seeking agencies.

Sustainability and Transferability

  Is the initiative sustainable and transferable?
Electronic Labour Exchange (ELX) booths had been set up at shopping malls in major cities including Johor Baru, Kuala Lumpur and Penang to give people easier access to information on job vacancies.
This latest initiative by the Human Resources Ministry is to create awareness to the service because many of the potential employees are not aware of the vast employment opportunities it offered. Besides that, there are also plan to set up ELX kiosks and booths at the shopping complexes which were frequented by many youths and job seekers.

Lessons Learned

 What are the impact of your initiative and the lessons learned?
One of the biggest perceived challenges faced in implementing ELX is the ‘people' problem – that is, in getting their buy-in, support and also commitment. As such, lessons learnt in the implementation of ELX application are as follows:
a. Initiated with too comprehensive system by adopting many global best practices models. Hence, this lead to an indistinct system robustness.
b. Too wide coverage on potential job seekers, namely graduates, non grad, disable, pensioners, drug addict, juvenile, prisoners, etc.
c. There is no mandatory Act/Policy formulated for Employers to register via ELX for employment, hence system is not fully utilized in hiring potential local employees.
d. In the area of skills and knowledge, i.e: Transfer of Technology from the consortia to the government teams has not happened as desired which attributed to the non-availability of the technology recipients, and the fact that the consortia may be too focused on getting their applications finished on time.

Contact Information

Institution Name:   Ministry of Human Resource
Institution Type:   Government Agency  
Contact Person:   Mustaffa Md Ali
Title:   Mr  
Telephone/ Fax:   +603-8886 5215
Institution's / Project's Website:   +603-8889 2360
E-mail:   mustaffa_m@mohr.gov.my  
Address:   Labour Department, Head Quarters Penisular Malaysia, Level 5, Block D3 Parcel D
Postal Code:   62502
City:   Putrajaya
State/Province:   Federal Territory
Country:   Malaysia

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