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Mixed experienceOwners of three recruiting agencies left off Malaysia's list, in a Prothom Alo report

Own demand orders, but off the list: agencies paid syndicate members Tk 152,000–165,000 per worker for Malaysia

Owners of three recruiting agencies with long-standing Malaysia business said that even when companies sent demand orders to them, they had to pay a listed agency Tk 152,000–165,000 per worker to use its name. After 31 May 2024 no new workers could enter the market.

According to Prothom Alo, before Malaysia's labour market reopened in 2022, an MoU gave Malaysia the job of selecting agencies. The list started with 25 and grew in phases to 100 private agencies plus the state agency BOESL. When a Malaysian company's demand order was finalised, software distributed it among listed agencies. Owners of three agencies outside the list told Prothom Alo that, because of their long business with Malaysia, companies sent demand orders to them; but since their names were not in the software, the demand went to a listed agency. They then had to pay that agency Tk 152,000 to Tk 165,000 per worker to send workers in its name. To dodge liability, listed agencies took written bonds from these sub-agencies pledging to bear all responsibility if a worker got no job, though sub-agencies' names appear in no official document. Several BAIRA members alleged the transactions were in cash, without receipts. The government's maximum fee was Tk 78,990 per worker, but a study found workers spent Tk 544,000 on average. Listed agencies blamed the extra cost on outside agencies' unhealthy competition and visa trading. The market had also closed in 2009, 2016 and 2018; this time workers with approvals and visas had to enter by 31 May 2024, and no new intake followed. A worker from Narsingdi who borrowed at interest and spent Tk 520,000 was sent home without work.

Lessons

  1. 1.Building the whole business on one country's labour market is risky; this one has closed repeatedly, so work several destinations.
  2. 2.Cash deals without receipts and sending workers under another agency's name raise legal and financial risk; a written bond can put all liability on you.
  3. 3.Keep workers' costs close to the government fee; when an overcharged worker finds no job, both the worker and the agency suffer.

Published with the person's permission, without revealing who they are.

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