#Human Resources #Employer

HR Ministry Proposes E-wages System for Foreign Workers

Nikki Blog
by Nikki Blog
Jul 12, 2020 at 10:17 AM

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The Ministry of Human Resources is considering a few proposals to protect foreign workers in Malaysia, among them are:

  • An e-wages system
  • Social Security Organisation (Socso) contribution for foreign workers

Human Resources Minister Datuk Seri M. Saravanan said the e-wages system was being considered and discussed with the Ministry of Home Affairs to assure that foreign workers received their salaries as guaranteed by employers.

“There are many cases where employers do not pay wages. We will introduce the e-wages system so that no workers are mistreated by employers. If employers fail to pay their wages, we will get the information from the system, and this will give assurance to foreign workers,” he said.

The ministry also proposed for foreign workers to contribute to Socso for their own safety. According to Saravanan, the proposals were reviewed with representatives of the Bangladesh High Commission, who were satisfied with them.

They also discussed the enforcement of Act 446 on Sept 1, which is to make sure employers provide adequate housing, accommodation and welfare to foreign workers. Those who failed to comply may be fined of up to RM50,000.

workers on site
The Human Resources Ministry are looking for ways to protect foreign workers in Malaysia.

The minister stated no foreign workers would be allowed into Malaysia in the near future except for those in particular sectors such as mining and domestic workers. This will continue until the existing foreign workforce in Malaysia had been streamlined.

He said this was necessary because the foreign workers in the country who had legitimate permits could also be losing their jobs following the economic downturn.

 

More foreign workers need to be tested

Employers are urged to send more foreign workers for Covid-19 test as only a portion of some 2.3 million registered foreign workers have been tested, say industry players. Only 33,613 foreign workers were reported to have gone through the Covid-19 screening. 40% of them are from the construction sector.

Right now, there are about 2.3 million registered foreign workers in Malaysia while an estimated three million illegal migrants work in the country.

Federation of Malaysian Manufacturers president Tan Sri Soh Thian Lai said it was never made compulsory for foreign workers in the manufacturing sector to get tested before being allowed to return to work.

“As such, the decision to get workers tested for manufacturing companies depends on their operational needs and risks,” he said. Despite this, Soh said businesses were still encouraged to send their workers for testing.

He noted that the Health Ministry had approved clinics and hospitals nationwide for the screening of Covid-19, making it more conducive for companies to get their workers tested.

Source: Malay Mail & The Star

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