Direct hiring of foreign workers to curb exploitation, says MEF

4 Feb 2026, 2:36 PM
Direct hiring of foreign workers to curb exploitation, says MEF

KUALA LUMPUR, Feb 4 — The Human Resources Ministry’s (MOHR) initiative to develop a pathway allowing Malaysian employers to directly hire foreign workers is necessary to curb excessive recruitment costs, address the lack of transparency and prevent the exploitation of foreign workers by intermediaries.

Malaysian Employers Federation (MEF) president Datuk Syed Hussain Syed Husman said discussions with foreign embassies showed broad agreement on the need for a recruitment framework that reduces unnecessary costs, removes middlemen, and ensures workers understand and consent to their employment terms before arrival.

He emphasised that foreign labour remains a critical resource for Malaysia’s economy, particularly in sectors where local participation remains low.

“MEF expressed confidence that the proposed government-to-government, technology-enabled recruitment model, including digital verification and secure payment mechanisms, will significantly improve Malaysia’s labour governance ecosystem if implemented consistently and with stakeholder consultation

“MEF stands ready to continue working closely with MOHR, Home Ministry and all relevant stakeholders to ensure that this initiative is sustainable, transparent and aligned with international best practices,” he said in a statement today.

Syed Hussain also commended Human Resources Minister Datuk Seri Ramanan Ramakrishnan for his proactive leadership in addressing key challenges faced by employers and foreign workers.

He said MEF has consistently advocated for all labour-related matters to be placed under the purview of MOHR, with immigration requirements remaining under the Home Ministry.

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