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Bangladesh against Malaysian demands for 'syndication' in manpower export

The secrecy over the memorandum of understanding (MoU) on the recruitment of the Bangladeshi workers in Malaysia makes no sense, according to insiders.

Malaysia’s agreement with Bangladesh on labour intake is shrouded in so much secrecy that even employers and agents do not have any access to details, reports Free Malaysia Today (FMT) recently.

Andy Hall, an independent migrant worker rights specialist, also wrote on FMT that there has been much discussion about a new worker recruitment MoU signed between Bangladesh and Malaysia in late 2021. 

Meanwhile, Bangladesh and Malaysia signed an MoU on the recruitment of Bangladeshi workers in the Southeast Asian country on December 19 of last year.

The agreement was signed in Kuala Lumpur by Malaysia's Human Resources Minister Datuk Seri M Saravanan and Bangladesh's Expatriate Welfare Minister Imran Ahmad.

The most discussed issue on this MoU is the cloud of secrecy, as it is difficult to understand why the MoU that would impact thousands of workers and employers shrouding in secrecy, reports Malaysian news outlet Malaysiakini.com

The MoU did not have the benefit of robust public discussion among all stakeholders, including employers, workers’ organizations and civil society organizations that have engaged with migrant workers for decades and - most importantly - workers themselves who should be one of the main beneficiaries of the MoU, the report added.

Andy Hall said that the lack of transparency means there are fears, denied by some, that the system being developed under the MoU will reestablish a syndicate to manage recruitment between the two countries. 

“Due to alleged corruption, this could increase migration costs for workers that will, in turn, result in their debt bondage and systematic forced labour,” he added.

According to Andy Hall’s writings on FMT, under the arrangement, only 25 Bangladeshi agencies will recruit workers for Malaysian employers, and these agencies will be chosen by the Malaysian authority.

Meanwhile, Bangladesh proposed names of 745 agencies. 

Earlier, in this regard, Shameem Ahmed Chowdhury Noman, former secretary-general of the Bangladesh Association of International Recruiting Agencies (Baira), said that it is a matter of concern if the Malaysian government selects recruiting agencies in Bangladesh.

“It will lead to syndication and monopoly in the sector just like what happened in 2016-2018,” he added

He also urged the Bangladesh government to strongly prevent such attempts because such syndication did not work last time.

According to him, the recruitment of workers from Bangladesh to Malaysia under a syndicate cannot adhere to basic corporate governance standards requiring free and fair competition. 

“Governance is a central part of environmental, social and governance (ESG) principles that international actors are required to comply with. The repercussions of this will be felt, on companies’ bottom lines and on the country’s reputation, sooner or later,” he added.

Joseph Paul Maliamauv, director of Tenaganita, a Human Rights NGO that promotes and protects the rights and dignity of migrant workers and refugees, commented on this MoU on Malaysiakini.com that the MoU does not have an avenue for appeal.

“One of the most current issues involving migrant workers is the huge costs incurred by migrant workers during the recruitment process,” he added.

He also said that it is clearly stated in the MoU that the workers shall bear the expenses for the recruitment costs incurred in Bangladesh. 

“It is a well-known fact that most Bangladeshi migrant workers incur debts of up to RM20,000 in Bangladesh to obtain a job in Malaysia, yet the MoU has absolutely nothing to say about how this blight on the recruitment process should be dealt with by the governments of the two countries and the employers,” he stated.

According to the MoU, the Government of Malaysia will select Bangladeshi recruitment agents (BRA) automatically through the online system from the list provided by the Bangladesh government. 

Joseph questioned why the Malaysian government is getting involved in the selection of BRA and on what basis is the selection made. 

However, according to a report published in Malay Mail recently, Bangladesh says transparency and fairness must be ensured in the selection of recruitment agencies for Malaysia.

Minister Imran Ahmad said in a letter dated January 18 to Minister Datuk Seri M Saravanan that the Government of Malaysia will ensure transparency and fairness in the selection and distribution of quota (for the recruitment agencies).

However, as of November 2021, 326,669 Bangladeshi workers are employed in Malaysia, with the majority working in the manufacturing and construction industries.