KUCHING: Sarawak recorded a notable improvement in its Industrial Harmony Index (IHI), rising from 79.3 per cent in 2022 to 81.5 per cent in 2024.
Deputy Minister in the Sarawak Premier’s Department (Labour, Immigration and Project Monitoring), Datuk Gerawat Gala, said the improvement shows that employer-employee relations in Sarawak are on the right track and continue to strengthen in line with national goals.
“The state of employer-employee relations in Malaysia can be measured through the National Industrial Harmony Index (IHI), which is released biennially by JPPM.
“Sarawak’s IHI score indicates the state showed a good level of employer-employee relations. In fact, Sarawak’s score improved and this reflects the reality of a harmonious industrial relations landscape and labour scenario in Sarawak,” he said.
He said this in his speech during the launching ceremony of Sarawak Industrial Harmony Programme 2025 at Waterfront Hotel here on Wednesday.
He also said the National IHI score is obtained through employer participation in the IHI Self-Assessment (IHI SA), a self-evaluation method that also involves employees in assessing workplace harmony.
“I hope that more companies in Sarawak will participate in this initiative through the Industrial Relations Information System (IRIS) platform provided free of charge by the Department of Industrial Relations Malaysia (DIRM),” he said.
Gerawat said companies that carry out IHI SA and meet the prescribed criteria will receive the Harmonious Company Rating Certificate (SPSH) as a branding effort to position themselves as harmonious companies to investors, the labour market, and the Malaysian and Sarawak industrial landscape in general.
“This certificate serves as added value for companies as a proof point to attract more investors to Sarawak-based firms. It also reassures workers who would be more inclined to seek employment in companies that offer a harmonious and conducive environment,” he added.
Meanwhile, on the programme, Gerawat said since its inception in 2022, the annual programme has been rotated across different regions in Sarawak – beginning in Kuching, followed by Bintulu and Sibu, and this year, in Miri.
A total of 250 participants attended, including employers, employees, trade unions, training providers, and academicians.
Gerawat said the programme plays a key role in strengthening stakeholders’ understanding of labour laws, the IHI, and amendments to the Industrial Relations Act 1967.
“It also helps sustain tripartite relations and strengthen social ties among social partners,” he said, adding that industrial harmony benefits businesses, boosts industry competitiveness, and contributes to national economic stability.
The programme also recognises companies that participated in the Productivity Improvement Coaching Programme through the Productivity-Linked Wage System (PBPLWS) and successfully obtained the PLWS Implementation Certificate 2024.
In addition, two Sarawak-based companies were also recognised for being selected as finalists out of 102 entries from across the country in the Harmonious Company Award 2025.
One of them, TM Technology Services Sdn Bhd, was named Champion in the Large Company Category.
