Good news about Malaysia's labor market

Good news about Malaysia's labor market

Good news about Malaysia’s labor market

The government of the country gave good news for workers going to Malaysia. It has been announced that the temporary moratorium on online applications through the portal launched for the recruitment of foreign workers in the country has been withdrawn. Human Resources Minister Datuk Seri M Saravanan gave the news in a statement on Tuesday (August 16).

The Southeast Asian nation of Malaysia relies on workers from other countries including Bangladesh to meet its labor needs. But due to the last 3 years due to the pandemic, the recruitment of new foreign workers has been suspended, creating an extreme labor shortage in the country.

  • Malaysia signed a memorandum of understanding with Bangladesh on 18 December 2021 to resolve this labor crisis. Then on June 2 of this year, a final decision was taken on the opening of the labor market in the meeting of the joint working group in Dhaka.
  • The Malaysian government recently launched an online application portal to recruit foreign workers. But suddenly the online application through the portal was temporarily closed.
  • On August 5, the Ministry of Human Resources of Malaysia announced in a statement that the facility of online application will be temporarily closed from August 15 to August 31. It is also informed that the portal will be re-opened for applications from September 1.
  • However, Malaysia announced to open the portal two weeks before the announced deadline. In a statement on Tuesday (August 16) local time, Human Resources Minister M Saravanan said that the temporary moratorium on

applications through the portal for recruitment of foreign workers will be lifted from next Friday (August 19).

Good news about Malaysia's labor market

Saravanan said, this decision has been taken based on their request to overcome the stagnation of various industries in the country. He said that the application process of at least 4 lakh foreign workers will be completed within this month.

A special committee consisting of 15 members from the Ministry of Industry and 5 representatives from the Ministry of Human Resources has been formed to better monitor the recruitment of foreign workers.

Besides, the Minister of Human Resource Affairs also said that discussions are underway with the Prime Minister and other ministers to postpone the implementation of the amendment to the Employment Act, 1955 by reducing the working hours from 48 hours to 45 hours per week at the request of the industrial owners.