Malaysia's New Recruitment Policy Creates Uncertainty for Nepali Workers and Agencies

Kathmandu. The recent controversy surrounding sending Nepali workers to Malaysia has put thousands of Nepali workers and foreign employment entrepreneurs in uncertainty. The dispute has intensified further after the Malaysian government listed an additional 250 'sub-agent' companies, limiting Nepali manpower companies. Initially, 25 manpower companies were listed as main contractors in Malaysia's Foreign Worker Central Management System (FWCMS) for hiring workers from Nepal. Foreign employment entrepreneurs had been protesting this decision. While the Nepali government was stating that diplomatic efforts were being made to resolve the issue, Malaysia listed an additional 250 companies to work under those 25 companies as 'sub-agents'. Stakeholders say that Malaysia's latest decision has complicated the problem rather than solving it. They have accused the system of giving work permits to only a limited number of companies, creating a new form of 'syndicate' in the foreign employment sector. The President of the Nepal Foreign Employment Entrepreneurs Association, Dik Bahadur Khatri, stated that Malaysia's latest decision is unacceptable to them. According to him, entrepreneurs had protested when only 25 companies were initially selected. Now, adding 250 more companies as 'sub-agents' under those companies is a step that will complicate the problem rather than solve it. 'We had protested even when only 25 companies were named earlier. Now, by adding 250 more companies, the government's eyes have been covered. This is a continuation of the model implemented in Bangladesh, which is unacceptable to us,' Khatri said. According to him, there are about 1,100 manpower companies operating legally in Nepal. He stated that giving the right to send workers to only a limited number of companies affects the principle of equal opportunity. 'On what basis is the right given to only a few limited companies, keeping 999 manpower companies out? Is there any hidden financial transaction in this?' he questioned. The Ministry of Youth, Labour, and Employment has expressed dissatisfaction with Malaysia's unilateral decision and stated that a diplomatic note has been sent through the Ministry of Foreign Affairs. According to the ministry's spokesperson, Mira Acharya, Malaysia has been repeatedly urged to proceed with the process in accordance with the spirit of the labor agreement between Nepal and Malaysia. Acharya said that although the ministry has corresponded to proceed with the process as per the labor agreement, a concrete and official response from Malaysia has not been received yet. After 25 companies were selected earlier, the Labour Minister had met with Malaysia's acting ambassador and requested a solution to the problem. However, despite the efforts made by the Nepali government, Malaysia has continued to implement its decision, raising questions about the government's diplomatic efforts. A bilateral labor agreement has already been signed between Nepal and Malaysia regarding worker supply. According to the agreement, worker supply-related matters are to be advanced based on decisions made by the Joint Committee between the two countries. Experts believe that Malaysia unilaterally setting criteria and selecting manpower companies without the consent of the Nepali government is contrary to the spirit of the labor agreement. Malaysia is one of the major foreign employment destinations for Nepali workers. The recent uncertainty in the process of going for employment there is likely to affect the future of Nepali youths preparing for employment. Additionally, entrepreneurs who have been sending workers to Malaysia are also affected. Entrepreneurs and stakeholders demand that the government should resolve the issue with Malaysia through high-level talks, not just diplomatic notes and correspondence. They have called for the government to take immediate steps to end the system of giving rights to only a limited number of companies and ensure equal opportunities for all manpower companies operating legally in Nepal.