Crisis in the Manpower Export Sector Due to Lack of Coordination
Published: 29 October 2024 | Bangla Version
Published: 29 October 2024 | Bangla Version
Despite completing processes as per agreements, Malaysia, a crucial labor market for Bangladesh, temporarily halted worker intake from May 31, 2024, due to quota fulfilment. Due to coordination gaps in the Ministry of Expatriates' Welfare and Overseas Employment, many workers couldn’t travel to Malaysia. Although the new advisor, Dr. Asif Nazrul, took practical steps for sector improvement, indecision and confusion from the ministry’s secretary have left recruiting agencies in distress.
After Saudi Arabia, Malaysia is the most important labor market for Bangladesh. Following the memorandum of understanding (MoU) between the two countries, 472,476 workers went to Malaysia from August 8, 2022, to May 31, 2024. As Malaysia's worker quota was fulfilled, it issued a circular on March 1, 2024, informing Bangladesh and other 14 source countries of a temporary halt in receiving workers after May 31, 2024. Malaysia made this decision to evaluate sector-based workforce needs and determine new quotas.
The Ministry of Expatriates' Welfare and Overseas Employment initially did not take this issue seriously. Neighboring countries also supply workers to Malaysia, but due to a shortage of flights and unavailability of tickets during Hajj season, many visa-holding Bangladeshi workers couldn’t travel to Malaysia. Thanks to active efforts by BAIRA, 45,031 workers were sent to Malaysia in May 2024 through chartered and regular flights. In comparison, other 14 source countries sent 44,075 workers in May. Malaysia authorities continued to issue e-Visas until the end of May upon employers' requests, and BMET continued to issue immigration clearances, although some workers were unable to leave for Malaysia by the end of May.
On June 1, 2024, when Malaysia stopped receiving workers, the ministry requested that visa and BMET-cleared workers register with them. About 4,000 reported to the ministry and BMET, although the promised list of 17,000 affected workers was not provided. Subsequently, agencies holding quota allocations were instructed to refund all expenses to the workers. Upon taking office, Dr. Asif Nazrul, a distinguished academic and the new advisor, initiated prompt measures to resolve this issue. On August 28, 2024, a meeting was held with relevant stakeholders, leading to the following decisions:
Recruitment agencies must notify the ministry by September 3, 2024, of completed refunds or settlements with affected workers.
Supporting recruitment agencies must notify primary agencies by September 10, 2024, of their completed settlements with affected workers.
The designated agencies made efforts to comply, and most workers were refunded their passport and money through either direct or intermediary agents. However, intermediary agencies did not progress significantly in refunding the workers. On September 24, 2024, the advisor informed that, although most primary agencies complied, only about 25% of the intermediary agencies provided refunds.
A concerning issue is that unauthorized agencies circumvented the process by buying visas from employers and using fake demand letters and powers of attorney, forcing authorized agencies to act as mere processing agents. These unauthorized agencies raised recruitment costs exorbitantly, charging up to BDT 500,000 or more. They purchased visas from employers and illegally paid them by overcharging workers, while trying to hold the authorized 101 agencies accountable.
Regrettably, the current secretary has opposed these authorized agencies, despite advisor Dr. Asif Nazrul’s instructions, directing agencies to refund the full amount to workers, contrary to prior meeting agreements. Agencies complying with ministry instructions cannot afford repeated refunds. Since assuming office, Secretary Ruhul Amin delayed decision-making for two months, pending familiarization. This led to significant delays in demand letters and BMET clearances, limiting workers' travel to Malaysia until the ticket shortage eased in May, resulting in 45,031 Bangladeshi departures, compared to 44,075 from other source countries.
Advisor Dr. Asif Nazrul has reformed policies, including eliminating embassy attestations for demand letters to expedite manpower export, gaining wide approval among agencies. However, the agencies are under strain due to Secretary Ruhul Amin’s unilateral decisions, hindering the entire manpower export sector and pushing it toward crisis.