Our newspapers also offended Malaysian workers by calling 马劳 during early 2000. Sound like horse worker. I always mixed with Malaysians. They actually take offense on this pharse.
Now we still using this phase branding Malaysian workers. I don't use this term as it is insulting to them.
Boomer generation call Malaysians 联邦人. The millennium heard this phase of calling, they feel very strange only. Aunty ask them why never go back to 联邦。
That why dun give people nickname what 马佬,马劳,jiuhu kia, Siam kia, Siam bu, hong kie( sound like donkey). That why Chinese call Singapore 坡县 as they mentioned they feel very small 县, sound very cute. They dun find it offensive