BATU GAJAH, Feb 9 — Human Resource Minister V. Sivakumar said that the government is working to find the right mechanism to end the monopolisation of foreign labour recruitment through digital methods by certain recruitment agencies.

He said his ministry is aware of the issue that has been raised by concerned groups that some local recruitment firms were taking advantage of the system with the help of certain labour syndicates from overseas.

“Efforts are being taken to ensure that these foreign workers are not exploited by any parties to gain high profit,” he told a press conference after attending the KTM academy convocation here.

Sivakumar also said that the Home Ministry had visited three of the source countries – Nepal, Indonesia and Bangladesh – to discuss and find the right method to resolve the issue.


“Even Prime Minister Datuk Seri Anwar Ibrahim in his speech yesterday told the applicants to deal directly when recruiting foreign workers without going through an agent.

“This is why the cost involved in the recruitment is getting higher. We are working to find the right way to deal directly without the involvement of agents to ensure applicants don’t need to bear the high cost,” Sivakumar said.

He said the best methods include a government-to-government approach.


National Association of Private Employment Agencies of Malaysia (PAPSMA) secretary-general Sukumaran Nair claimed last month that a handful of foreign recruitment agencies were found to be monopolising the recruitment of foreign workers through the digital system, with the help of syndicates from source countries.

He claimed the syndicates are believed to be exploiting Malaysia’s ever increasing demand for foreign workers, especially those from Bangladesh.

He urged the government to take over the operation of the digital system and detail the structure of the foreign worker recruitment process immediately.