The Malaysian government has unveiled plans to introduce a new digital platform that will allow employers to hire foreign workers directly, bypassing private recruitment agents that have long dominated the sector.
Announced by Human Resources Minister Datuk Ramakrishnan, the initiative aims to reduce recruitment costs, prevent worker exploitation, and increase transparency in Malaysia’s foreign labour system, according to reports by Economic Times and The Malaysian Reserve.
Ramakrishnan noted that reliance on intermediaries has left many foreign workers vulnerable to abuses, including excessive recruitment fees, debt bondage, and practices associated with modern slavery.
“The issue has been raised repeatedly in Parliament and highlighted in the media. We want to eliminate the middleman problem,” he said.
Currently, foreign workers often pay substantial recruitment fees before leaving their home countries, frequently taking out loans to cover these costs. Many arrive in Malaysia already in debt, and in some cases, are assigned jobs that differ from what they were promised.
Prompted by concerns from Parliament and civil society groups, the government is moving to end the agent-driven model in favour of a more transparent system.
Under the proposed platform, Malaysian employers will connect directly with prospective foreign employees through a centralized digital system. Job descriptions, wages, and employment conditions will be clearly displayed and agreed upon before contracts are signed, reducing the risk of misrepresentation and abuse.
Officials expect the platform to streamline the hiring process, lower costs, and strengthen oversight of foreign labour recruitment, marking a significant shift in Malaysia’s approach to migrant employment.