KUALA LUMPUR – The authorities in Malaysia have banned the hiring of foreign workers in what appears to be a severe blow for the low-skilled workers who had fewer options for immigration.
Malaysia reopened its labor market in 2022 and started recruitment of foreign workers which helped the workforce based in different countries, especially Bangladesh; however, the hiring now stands banned. Interestingly, the workers from Bangladesh preferred Saudi Arabia as the top destination for employment followed by Malaysia.
As part of the fresh directive, Malaysia’s Home Minister Saifuddin Nasution Ismail said his government would not allow foreign workers into the country under the active quotas starting on June 1.
‘Any decision on fresh recruitment of foreign workers will be made after the government has the full details of the quota of workers who have not entered the country by May 31 and the outcome of the ongoing labour recalibration programme (RTK2.0) process, which will end entirely on June 30, 2024,’ Malaysian Human Resources Minister Steven Sim was quoted as saying by Straits Times.
The current freeze on foreign workers’ hiring quota will be maintained as the number of migrant workers has almost hit the 12th Malaysia Plan (12MP) target, Sim said and added that the current freeze on foreign workers’ hiring quota will remain in place as the number of migrant workers has almost hit the 12th Malaysia Plan (12MP).
The ban – being criticized by Bangladeshi workers – comes as the Malaysian government has decided that the foreign worker quota cannot exceed 15 percent of the total workforce by 2025.
As far as the statistics are concerned, the Malaysian Immigration Department has confirmed that as of March 15, there were about 2.17 million foreign workers in the country.
It is to be highlighted that though Bangladesh and Malaysia share a religious bond as well, both countries signed a memorandum of understanding in 2021 that lifted a nearly four-year moratorium on recruiting labor by Malaysia.
Kuala Lumpur had imposed the ban over allegations of malpractices and irregularities by a “syndicate” of Bangladeshi recruiting agencies.