October 15, 2005
Government-appointed outsourcing companies responsible for foreign workers’ welfare
Following an earlier statement by Malaysian Home Affairs Minister Datuk Seri Azmi Khalid, where he mentioned that any employer seeking to hire less than 50 foreign workers would have to approach the outsourcing companies appointed by the government, Azmi has clarified that the outsourcing companies appointed by the government will be permitted to bring in 500 workers each.
In the event of the companies not being able to provide these workers with jobs, the companies would have to pay a minimum of RM400 per month to the workers. The government appointed companies are also required to deposit a bond with the government which would be surrendered if they did not abide by the law. Bernama.com reports:
He said 20 such companies had been appointed since August and they were responsible for the wages and welfare of the workers they brought into the country. Azmi said the system was in use in several other countries and had been approved by the Cabinet. The number of outsourcing companies would be increased in future, he added.
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