Malaysia recruitment reopening triggers new syndicating fear

Bangladesh's planned reopening of labour recruitment to Malaysia has reignited controversy, with recruiting agency owners and labour migration experts calling for a transparent, competitive and worker-centred recruitment process while warning against the possible emergence of a new recruitment syndicate.

The debate comes as the Ministry of Expatriates' Welfare and Overseas Employment continues action against agencies accused of irregularities in previous recruitment exercises. 

The ministry recently cancelled the licences of 49 recruiting agencies, including firms allegedly linked to former political figures, and has decided in principle to exclude agencies associated with the previous 101-member syndicate. Yet,  industry representatives claim that 51 other agencies accused of similar offences were allowed to retain their licences.

Industry leaders also allege that some blacklisted operators are attempting to re-enter the recruitment business through different company names or by using alternative licences. They urged the government to prosecute individuals responsible for fraudulent recruitment practices rather than simply cancelling company licences.

Recruitment industry sources further allege that a new 25-member syndicate is being formed, reportedly involving agencies linked to a relative of a senior government adviser, several sitting Members of Parliament, influential BNP leaders and prominent recruiting agency owners. 

The sources identified Mehedi Hasan of Comfort Overseas as a key figure and alleged that Ruhul Amin Swapan of Cathersis International, whose licence remains suspended, along with his Malaysia-based associate Aminul Islam Bin Abdun Noor, could seek to influence the recruitment process from behind the scenes.

The controversy has also focused on the government's selection of recruiting agencies for the Malaysian labour market. According to ministry sources, no Bangladeshi agency initially met all ten eligibility criteria set by the Malaysian authorities. 

Malaysia subsequently relaxed three or four of those conditions, enabling 260 agencies that met seven criteria and a further 163 agencies that met six criteria to qualify, according to Expatriates' Welfare and Overseas Employment State Minister Nurul Haque.

Defending the selection process, the state minister said agencies had been shortlisted on the basis of the revised eligibility criteria.

But, the explanation has drawn criticism from recruiting agencies and labour migration experts. They argue that because the original public notice required compliance with all ten criteria, the ministry should have issued a fresh call for applications after the requirements were relaxed. They contend that nearly 2,000 licensed recruiting agencies were denied an equal opportunity to compete.

Industry leaders say the government's ongoing review offers an opportunity to prepare a fresh, transparent and merit-based panel open to all qualified agencies.

Migration experts have also urged the government not to announce the reopening of Malaysia's labour market before a formal bilateral agreement is signed, warning that premature announcements could encourage brokers to collect money illegally from prospective migrant workers.

They also expressed concern over worker protection, noting that many workers affected by the suspension of recruitment in May 2024 reportedly lost around Tk600,000 each and have yet to receive compensation. Some prospective migrants are also allegedly being asked to pay an additional Tk150,000.

Malaysia remains Bangladesh's fourth-largest source of remittances, with Bangladeshi workers sending home nearly US$3.5 billion during the last financial year. Industry leaders say Bangladesh could send up to 200,000 workers annually if recruitment is conducted through a transparent, competitive and worker-centred system free from syndicate control.