Local and foreign workers

This sub-section examines the distribution of local and foreign workers, males and females in the Brunei employment structure as a whole and in constituent sectors. It is argued that each of these groups generally performs different types of occupation. First, the locals generally occupy high level occupations and foreign labour lower level. Second, local males generally occupy high and middle level occupations, while local females are found in middle and lower levels. Third, more foreign males occupy higher level occupations, while more foreign females concentrate in lower level occupations. By economic sectors, it is suggested that the locals generally occupy white collar employment in the service sector, while foreign workers mainly

do blue collar jobs in manufacturing. Further, local and foreign males are mainly employed in traditionally male-dominated sectors (such as mining), while local and foreign females are in traditionally female sectors (such as services). This exercise is designed to identify the different roles played by the local and foreign workers, hence demonstrating the existence of segmentation between them. How the segmentation comes about will be examined and explained in Section 4.4.

a) Local and foreign workers by types of occupation

Dualistic forms of segmentation, such as between Brunei citizens and permanent residents (BC & PR - both addressed as locals) and temporary residents and others (TR & O - both are foreign workers), are clearly discernible in the different hierarchies of occupations (Table 4.5). In 1971, for example, the locals (especially males) were largely engaged in white collar occupations, especially in the top six occupations shown in the table, while foreign labour was predominantly in the lowest of occupational hierarchies, mainly in blue collar jobs. Thus, the locals were generally well represented in professional, technical and related jobs as well as in middle-level occupations such as clerical, sales and service workers, but they were generally under-represented in unskilled occupations, such as production workers, transport operators and labourers. A similar pattern was visible generally for the locals in 1981, except for administrative and managerial occupations in which the local participation improved from a ratio of 82 per hundred locals in 1971 to 111 in 1981.

In comparison between local and foreign males, there was significant difference in their patterns of employment. The local males in 1971 were generally over-represented in white collar occupations (i.e. as reflected in the overall employment patterns of the locals), while foreign males were generally under-represented in all types of occupation, except in administrative and managerial. An almost similar pattern can be seen in 1981 between the two groups of workers. The only notable change was an increase in the representation of foreign males in production and related workers, transport, operators and labourers, up from 109 in 1971 to 113 in 1981 .

With respect to local and foreign females, there was a remarkable contrast in their patterns of employment. In 1971 for example, local females were significantly under-represented in almost

all occupations compared to foreign females, while foreign females were over-represented in almost all occupations. The low participation of local females was mainly related to the generally lower educational levels of local females in the early 1970s and also fewer of them were engaged in paid employment during that period^^ (see Section 4.4).

Table 4.5; Working population by occupations and residential status, 1971-81

Occupational group B C &P R T M F 1971 (ratios) T R & O I M F I BC&P M F 1981 (ratios) TR&O T M F Professional, technical &

related workers

103 121 75 94 91 180 108 85 139 86 91 153

Administrative & managerial workers

82 176 8 138 109 15 111 128 26 81 112 28

Clerical & related workers 117 143 48 65 83 256 135 65 193 38 64 320

Sales workers 107 140 52 86 102 834 108 87 136 86 91 155

Service workers 107 148 42 86 82 258 106 95 113 89 79 230

Agricultural & Animal husbandry, forestry and fishery workers

134 122 73 29 98 122 127 108 78 52 107 56

Production & related workers, transport operators & labourers

80 176 9 141 109 17 73 130 194 148 113 20

Unclassified 88 119 77 125 94 770 76 103 91 144 85 192

Total (per cent) 100 100 100 100 100 100 100 100 100 100 100 100

(numbers) 27050 21886 5164 12962 11676 1286 43695 3176 11931 24433 20973 3460 Source: Calculated from EPU., (1993), Summary Tables o f the Population Census 1991, Brunei Darussalam: 209, 194 and 279.

By 1991, the pattern of occupations between locals and foreign workers, and between local males and females had not changed very much (Table 4.6). The overall distribution still shows that the locals were mainly in high and middle level occupations while foreign labour remained under-represented at such levels but was well represented at lower levels especially in production and related, and cleaning and related occupations. Between local and foreign males, there were some significant similarities as well as differences in their distribution by occupations. For example, both were over-represented in administrative and managerial.

’^ h e participation rate for local females (citizen and permanent residents) was not available in the 1971 Census report. However, the overall participation rate of females (i.e. including foreigners) was only 20 per cent. (EPU., State o f Brunei, Report on Brunei Population Census, 197 T. 198).

agriculture, production and related jobs, plant and machine operating and assembling occupations. On the other hand, while local males were under-represented in cleaning and related occupations, foreign males were over-represented.

Table 4.6: Working population by occupations, residential status and sex, 1991

Occupational group Locals (%) Foreign (%) Local (ratios) Foreign (ratios)

T M F T M F T M F T M F

Legislators, administrators & managers

77.5 80.8 19.2 22.5 90.3 9.7 134 126 54 54 124 35

Professionals 61.8 60.2 39.8 38.2 76.3 23.7 107 94 112 91 105 87

Technicians & associate professionals

81.8 61.0 39.0 18.2 70.1 29.9 141 95 109 43 97 109

Clerical workers 89.2 36.1 63.9 10.8 36.8 63.2 154 56 179 26 51 231

Service workers, shop, market & related workers

65.2 64.1 35.9 34.8 59.9 40.1 112 100 101 83 83 146

Agricultural & fishery workers 70.8 85.5 14.5 29.2 94.2 5.8 122 133 41 70 130 21

Production craftsmen & related workers

33.5 92.0 8.0 66.5 91.8 8.2 58 143 22 158 126 30

Plant & machine operators & assemblers

54.1 92.5 7.5 45.9 98.8 1.2 93 144 21 109 126 4

Cleaners, labourers & related workers 35.1 51.6 48.4 64.9 53.1 46.9 61 80 136 155 136 171 Not classified 60.6 94.3 5.7 39.4 98.9 1.1 105 147 16 94 73 4 Total 58.0 64.3 39805 35.7 22134 42.0 72.6 32533 27.4 12274 100 100 100 100 100 100

Source: Calculated from EPU., Summary Tables of the Population Censuses 1991, Brunei Darussalam: 255.

b) Local males and females by types of occupation

Local males were over-represented, compared with females, in all occupations, including blue collar manual occupations (see Table 4.5). This pattern was mainly due to the increased number of local male employees as a result of the shifting of large numbers of own-account workers and family helpers from agriculture to construction and other paid employment (EPU, Brunei Population Census 1971). No literature is available to substantiate reasons for the shift in occupations, though it might well be due more to the attraction of wages than other causes such as property or land rights because the last have not changed at all. In the early 1970s, wages for labourers either in government or construction were relatively attractive compared to what they earned in the agriculture sector, hence many full-time farmers switched from being

self-employed in fanning activities to wage earning in the government and private sectors^^. By 1981, however, local males were generally under-represented in middle-level occupations, but were well represented in low level jobs such as production, transport operators and labourers because there were some sections of the population with low level education.

Local females were under-represented in all occupations in 1971, but had increased their participation in professional and related works, clerical, sales service and production works by 1981 (see Table 4.5). By 1991, the ratios signify that the locals were generally well represented in white collar occupations (Table 4.6). In terms of percentages, their share of employment was more than 50 per cent in almost all occupations except in the lowest level jobs where foreign workers contributed 64.9 per cent of the workforce. There were, however, differences in employment patterns between local males and females. Local males were over­ represented in the top level occupations, as well as in "non-oflSce" middle-level jobs, such as agriculture, production and related and plant and machine operators, while females were especially in professional, clerical, cleaners and related. The distribution of different groups of workers in different types of occupation signifies the existence of structural segmentation of workers, as a consequence of the interplay of the roles of the government, employers and local workers (see Section 4.4). And since in general, the patterns of employment between the local males and females do not change drastically, during the decades studied, it would appear that segmentation had become ingrained in the Brunei’s employment structure.

c) Foreign males and females by types of occupation

Foreign males were under-represented in almost all occupations in 1971 and 1981 except for administrative and managerial occupations, and production and related works (1971 only) and production and related workers (Table 4.5). Foreign females on the other hand, were over­ represented in almost all occupation except administrative and managerial with ratios of 15 and 28, and production and related occupations, 17 and 20, in both census years respectively.

Similarly, in 1991, there were significant differences in the patterns of employment between foreign males and females (Table 4.6). For example, the former were over-represented in administrative and managerial occupations, agriculture and fishery, production and related, plant and machine assembling and operating occupations, as well as cleaning and related occupations. Conversely, the latter were under-represented in these occupations, except for cleaning and related occupations. For clerical and service occupations, however, foreign males were under-represented, while foreign females were over-represented.

The contrasting patterns of employment between foreign males and females, such as in administrative and managerial occupations, suggest that employers prefer to engage foreign males for such occupations rather than foreign females. Such a preference can be considered as an element in the segmentation process, as it renders such occupations non-competitive.

d) Local and foreign workers by economic sectors

In terms of economic sectors, there were significant differences in the distribution of the local and foreign workers in 1971, 1981 and 1991. In the primary sector in these years, for example, the locals were highly concentrated in agriculture (with the ratios of 135, 127 and 121 respectively), while foreign workers were mainly in mining, except in 1991 (Table 4.7). In the secondary and tertiary sectors, the locals were also under-represented in manufacturing (ratios; 72, 63 and 48 in 1971, 1981 and 1991 respectively) and wholesale and retail (ratios: 98, 87 and 79 for the same census years), but especially heavily represented in government services, such as electricity, gas and water, community and social and personal services, and others. Foreign labour was under-represented in these sectors. These distribution patterns indicate the high preference of the locals for public sector employment, and/or the preference of the government to recruit Bruneians only, leaving jobs in the non-government sectors, such as wholesale and retail, to be filled mainly by foreign labour. Thus, the latter are over-represented in these sectors. The most significant difference, however, are in manufacturing and construction where foreign workers in the latter sector were heavily represented (ratios: 201, 182 and 138 in 1971, 1981 and 1991 respectively), while the locals were almost absent. The high preference of locals for white collar public sector employment is further reinforced by the preference of employers for both skilled and unskilled foreign workers who are readily available. Therefore, the

segmentation processes at work here are the continued preference on the part of the locals with respect to public sector employment, and employers’ preference for foreign workers (detailed in Section 4.4), both of which combine to produce a segmented employment structure in the Brunei labour market as a whole and in the construction, and wholesale and retail sectors in particular.

Table 4.7: Sectoral distribution of working population by residential status and sex, 1971-91 Industrial group 1971 (ratios)

Local Foreign T M F T M F 1981 (ratios) Local Foreign T M F T M F 1991 (ratios) Local Foreign T M F T M F Agriculture, hunting, forestry and fishing 135 83 171 27 96 137 127 93 119 52 108 54 121 103 94 71 126 31 Mining & 96 118 22 108 105 55 89 117 56 120 113 21 107129 49 91 131 18 quarrying Manufacturing 72 92 134 157 103 75 63 93 119 166 103 82 48 77 142 172 96 110 Electricity, gas & water 118 121 11 63 108 30 148 113 65 14 115 7 158 133 42 19 133 12 Construction 53 120 15 201 109 15 55 129 24 182 113 23 35 136 35 138 135 8 Wholesale and retail trade, hotels & restaurants 98 94 126 113 93 163 87 84 144 123 89 169 79 96 108 129 9* 105 Transport, storage & communication 118 118 24 63 107 35 112 112 70 79 111 33 117 111 80 76 126 30 Financing, insurance, real estate & business service

89 73 171 119 104 78 115 74 148 79 119 51

Community, social & personal services 117 97 114 65 84 247 120 73 114 63 83 203 122 94 110 69 64195 Activities inadequately defined 89 85 158 124 87 214 73 95 112 148 88 175 121 128 50 71 113 65 Total : Males Females All 21880 5162 27042 11682 1288 12970 31764 11931 43695 20973 3460 24433 39805 22134 61939 32533 12274 44807

Source: Calculated from EPU., Summary Tables o f the Population Census 1971, 1981 andl991, Brunei Darussalam'. 234-238, 210 and 310-314.

e) Local and foreign maies and females by economic sectors

With respect to total (local and foreign) males and females, their patterns of employment conform to the traditional pattern in the distribution of male and female workers by economic sectors, as shown by the over-representation o f total males in mining, construction, transport and related sectors between 1971 and 1991. In contrast to the distribution of male workers by sectors, the local and foreign females were generally concentrated in the community, social and personal services, and in wholesale and retailing. The concentration of females in these services is typical of many societies and in Brunei such patterns of employment of females remain so throughout the period investigated, implying a robust segmentation of workers between males and females by economic sectors.

Generally, it has been demonstrated here that a clear segmentation of local and foreign workers exist in the Brunei’s employment structure in terms of occupational hierarchies and types and economic sectors. Such a segmentation is also discernible in terms of skills, which is examined next.