Human Resources

Toggle

Article

Malaysian employers no longer have to pay to register workers

HR Masterclass Series: High-level HR strategy training workshops
with topics ranging from Analytics, to HR Business Partnering, Coaching, Leadership, Agile Talent and more.
Review the 2019 masterclasses here »

Where previously only 10 companies had the authorisation to bring in Bangladeshi workers to Malaysia, now more companies can bring in foreign workers with the end use of the Foreign Worker Application System (SPPA).

The Malaysian government’s decision to stop using the system will reduce the financial burdens imposed on both employers and Bangladeshi workers, as reported by The Star Online

Chirara Kannan, an owner of a consultancy service for employers in the Klang Valley, told The Star Online that he was happy employers no longer had to pay the RM305 SPPA registration fee for each Bangladeshi worker.

Like employers, Bangladeshi workers too have much to gain from this move. The workers and their families have been paying up to RM20,000 to work in Malaysia. These high fees were a result of sub-agents, who recruited the workers, having to pay one of the 10 authorised companies under the SPPA system. With the demolition of the system, workers just need to pay half of the amount that they used to pay.

Md Mokbul Hossain Mokul, who operates a recruitment agency in Kuala Lumpur, said that Malaysia became an unpopular destination among Bangladeshi workers in recent years because of the hefty fees. “The decision to stop SPPA is timely and will help change the negative perception about working in Malaysia,” he told The Star Online.

ALSO READ: Employment Act 1955 to be reviewed, says Minister M. Kulasegaran

Photo / 123RF

HR Masterclass Series: High-level HR strategy training workshops
with topics ranging from Analytics, to HR Business Partnering, Coaching, Leadership, Agile Talent and more.
Review the 2019 masterclasses here »

Read More News

Trending