Amid supply glut, traffickers offer to ‘sell’ migrant workers to agencies

EXCLUSIVE | Changes in policies on foreign worker recruitment have resulted in a glut of unemployed foreign workers in the country.

The situation has also emboldened traffickers, who are now even trying to “sell” trafficked workers to licensed labour agencies, without fearing legal implications, industry veterans say.

National Association of Human Resources president Zarina Ismail shared that she was among association members who received numerous calls from traffickers trying to offload workers onto her or anyone willing to accept them.

These attempts have reached an unprecedented scale, primarily targeting positions in the service and hospitality sectors, Zarina said.

“I have been approached by labour touts before but never on this scale.

“They are trying to offload hundreds of workers, most of whom have been approved for the service and hospitality sector,” she said.

Advising employers to refrain from engaging with third-party contractors to avoid falling into their human trafficking racket, Zarina urges employers to report such calls to the police to protect the rights of exploited workers.

Traffickers, profiteers face heavy penalties

Labour outsourcing was outlawed in 2018, making it illegal for labour supply agencies to hire migrant workers under their name and deploy the workers to work elsewhere.

The amendments to the Private Employment Agencies Act 1981 ensures employers can be held accountable and face severe penalties for violations against workers.

Those found guilty of outsourcing migrant workers can face imprisonment not exceeding three years, a fine not exceeding RM200,000, or both.

Such activities are also punishable under the Anti-Trafficking in Persons and Anti-Smuggling of Migrants Act, with traffickers facing up to lifetime imprisonment if convicted, depending on the charge.

Those profiting from the exploitation of a trafficked person may also face up to 15 years’ jail, a fine of RM500,000 to RM1 million, and forfeiture of profits made while committing the offence.

Relaxed policy led to oversupply

The recent trend among traffickers cold-calling employers and licensed agencies is attributed to an overwhelming surplus of migrant workers currently in the country.

Former Malaysian Trade Union Congress general secretary Gopal Kishnam chalked up the unprecedented glut to the Human Resources Ministry’s relaxed recruitment conditions from January to March of this year.

The first batch of Bangladeshi workers arrive in August 2022, after a moratorium on foreign worker entry was lifted

The new regime’s efforts for a speedy solution to address the labour crunch in critical sectors, which involved “zero checks” for approvals on foreign worker applications, has backfired, he said.

This not only led to locals being laid off to be replaced by migrant labour, but also an oversupply of migrant workers in the country, he said.

“One of the crucial checks to be carried out by the Human Resources Ministry is the fulfilment of the quota criteria and if this is not done, anyone can apply without even having a business that needs workers.

“This opened the floodgates to traffickers and suddenly, in less than three months, we have thousands of migrant workers in Malaysia without work.

“At the same time, Malaysia commenced a recalibration programme to facilitate undocumented migrant workers in Malaysia, with the necessary documentation to be able to work in the country legally,” said Gopal, who is National Union of Transport Equipment and Allied Industries Workers chairperson.

Human Resources Minister V Sivakumar

The foreign worker quota relaxation took place between Jan 17 to March 14, in a bid to meet urgent demand from employers.

Under the temporary policy, employers need not meet pre-conditions to receive the quotas, including undergoing an interview with the monitoring agency (Agensi Kawal Selia).

Human Resources Minister V Sivakumar said the ministry approved a total 995,396 employment quotas for foreign workers for various sectors in that period.

Reform migrant labour policy 

Migrant rights advocate Adrian Pereira urges greater transparency in the approval process for quotas of foreign workers in Malaysia.

He believes that this measure can help address the factors that contribute to human trafficking with more immediacy. 

“The root cause of abuse is controlling the quota and who is approving the applications,” said Pereira, who is executive director of the NGO, North-South Initiative.

Migrant construction workers in Kuala Lumpur

However, medium-term and long-term measures are needed to address the old recruitment system in Malaysia and in the sending country in order to avoid the flourishing of illegal job agencies in the country which encourage human trafficking, he said.

Migrant labour policies need to be reformed before the tried, tested and failed system in the way foreign workers are managed in the country improves, Pereira said.

He added the impunity of high-profile civil servants working to benefit employers also contributed to the loopholes that exacerbate human trafficking in Malaysia.

He then urged the government to set a good example in the treatment of foreign workers on duty at its premises or hired by its agencies through contractors.

“Government and semi-government agencies such as Alam Flora and hospital support service staff should have exemplary labour practices for the private sectors to follow,” he said. - Mkini