Malaysia jobs at risk as dispute over 275-company limit deepens

Malaysia, one of the main destinations for Nepali workers, is at the centre of a growing dispute that could close the door on thousands of jobseekers. Under Malaysia's Foreign Worker Centralized Management System, only 275 Nepali manpower companies are allowed to send workers to the country.

The restriction has hit hundreds of other companies and left workers preparing to travel in uncertainty. Nepal's government has said it will not accept an arrangement that gives opportunity to only a limited number of companies, while Malaysia has held to its position that workers will come only through the 275 companies.

The standoff has also raised questions about the Labour Ministry and the labour minister, with critics saying effective diplomatic talks with Malaysia have not taken place. At the same time, the government has moved ahead with investigation and action against manpower businesses listed in Malaysia's system, a step that has widened the distance between the government and the businesses.

Sponsored · Why this ad?

Ask once. Get the answer.

Nepal's own search engine, with quick answers right at the top.

Learn more

The Nepal Foreign Employment Entrepreneurs Association is also facing accusations in the dispute. It has been accused of failing to take effective steps to make the process of sending workers to Malaysia easier. Business circles have also accused it of manoeuvring, with a commission interest, to send workers to Bangladesh as an alternative to Malaysia.

The stakes are high because Malaysia is a major destination for Nepali workers. Figures cited in the debate put the annual economic loss from losing Malaysian employment at around Rs 800 billion, and warn that the future of lakhs of Nepalis and the wider economy would be affected.

While the government, the ministry and the association trade blame, the people directly affected are young Nepalis hoping to go abroad for work. The dispute points to the need for immediate diplomatic dialogue with Malaysia so that all Nepali manpower companies get equal opportunity and workers' jobs are protected.