Placement of Foreign Workers in Malaysia

Some Advice:

WHO IS A LEGAL FOREIGN WORKER
He or She is a Foreign National who has entered Malaysia legally with proper documents to work for a specific Employer:

  1. is in possession of a valid Passport
  2. is in possession of a valid Work Permit to work for that Employer.
WHO IS AN ILLEGAL FOREIGN WORKER
  1. He is a Foreign National but without any identification papers.
  2. He is a Foreign National who has a Passport but without a valid Work Permit.
  3. He has a valid Passport and Work Permit, either of which has expired.
  4. He has a valid Passport and Work Permit but has absconded from his approved Employer.
Can an Illegal Worker be Legalised.
  1. No, an illegal Worker cannot be legalised during his stay in Malaysia.
  2. Those without any form of identification papers must surrender to The Local Police or Jabatan Imigresen Malaysia to be repatriated to their country of Origin after paying the penalty of overstaying.
  3. Those with valid Passports and Work Permits BUT do not want to continue employment with their Employers must return to their country of Origin. These workers can return to work for another employer only after complying with the statutory six (6) month cooling period.
  4. Illegal Foreign Workers who have been deported or Legal Workers who have been deported for wrong doings are blacklisted and are not permitted to return to Malaysia.
PENALTY FOR HIRING ILLEGAL FOREIGN WORKERS

The Government of Malaysia prohibits any Foreign Citizen from working in Malaysia without a valid Work Permit (Housemaids and Semi Skilled Workers) or Employment Pass (Investors, Technical and Professional Workers).

Penalty for Employers:

Any Employer caught employing a Foreigner without a valid Work Permit or Employment Pass shall be subject to either one or more of the following penalties:
  1. A monetary Penalty of RM 5,000.00 to RM 30,000.00 per illegal worker employed.
  2. A jail penalty up to 12 month per illegal Worker.
  3. Whipping up to 6 strokes if found having more than 5 illegal workers.
  4. Or combinations of all the above.
Penalty for Illegal Foreign Workers:

A Foreigner caught working in Malaysia without a valid Work Permit or Employment Pass shall be subject to either one or more of the following penalties:
  1. A monetary Penalty of RM 30.00 per day overstayed up to RM 10,000.00.
  2. A jail penalty of not more than 5 years.
  3. Whipping if proven to be a repeated offender.
  4. Or combination of all the above.
  5. And deportation upon compliance with the above penalties.
Penalty for legal Foreign Workers who have overstayed:

Akta 150 - Akta Passport 1966
Akta 155 - Akta Imigresen 1959/1963- Sek.16 (1) (c)

A Foreigner who has a valid work permit but has overstayed beyond the approved time period shall be subject to either one or more of the following penalties:
  1. A monetary Penalty of RM 30.00 per day overstayed up to RM 10,000.00.
  2. A jail penalty, if reporting of the overstay was not done voluntarily.
  3. Or combination of the above.
  4. And deportation upon compliance with the above penalties if reporting of the overstay was not done voluntarily.
Penalty for legal Foreign Workers who have changed Employers or changed jobs without approval from Jabatan Imigresen Malaysia:

Akta 150- Akta Passport 1966
Akta 155 Akta Imigresen 1959/1963- Sek.16 (1) (c)

A Foreigner who has a valid work permits but has changed Employers or has changed Jobs shall be subject to either one or more of the following penalties:
  1. A monetary Penalty of RM 30.00 per day overstayed up to RM 10,000.00.
  2. A jail penalty of not more than 5 years.
  3. Or a combination the above.
  4. And deportation upon compliance of the above penalties.
LABOUR MATTERS
  • Ensure that each Foreign Worker employed by you has signed a Contract of Employment with you.
  • This Employment Contract must contain all items related to:-
    1. Terms of Employment
    2. Remuneration rates
    3. Overtime Rates
    4. Holiday Work rates
    5. Due dates for payments of wages.
    6. Methods of such payments.
    7. Accommodation
    8. Terms related to Resignation and or Dismissal
    9. Responsibilities and Liabilities of Employer and Worker
    10. Terms related to Termination of Employment Contract.
    11. Compensations
    12. Arbitration
    13. Repatriation
  • Ensure that this Employment Contract that has been duly stamped.
  • Ensure that your Foreign Worker is registered with the Local Police Station.
  • Ensure that your Foreign Worker is registered with His Embassy here.
  • Ensure you maintain accurate records related to presence and absence of your Foreign Workers at your worksite.
  • Ensure that all payments made to your Foreign Workers are recorded and kept available at all times or until 12 months after their departure to their Home Country.
  • Ensure your maintain accurate records related to entry and exit of your Foreign Worker at the Hostel.
PREVENTING SOCIAL PROBLEMS
Causes of Social Problems:
  1. Causes of Non-acceptable Discipline problems caused by difference in personality of the Worker as an individual e.g. being rude, lazy, disobedient, rebellious, late for work, tendency to commit crime.
  2. Causes of Non-acceptable behavioural problems caused by difference in culture and traditions of the Worker e.g. social behaviour; dressing, personal and environmental cleanliness, social etiquette; manners, littering;
  3. Causes of Non-acceptable opinion problems caused by difference in Religious practices of the Worker- e.g. respect for other religions, religious practices; respect or scorn for other religious practices;
  4. Causes of Non-Acceptable practices caused by availability of too much free time and too little Written or Oral Control.
    e.g. loitering; free spending of hard earned money; hanging around in Shopping areas, visiting entertainment centres
How to prevent Social Problems:
Ability to identify the cause of the problem:
  1. Whether Individual personality traits is the cause.
    The individual must be constantly reminded to conform to the regimentations required at the work place.
    1. Appreciations
    2. Verbal warnings
    3. Disciplinary punishments- fines, suspensions etc
    4. Reports to Enforcement Authorities
    5. Exemplary Dismissal and Enforced Repatriation.
  2. Whether Culture or traditions are the cause
    1. Conducting Orientation programs which will expose the workers to locally acceptable or locally practiced cultural behavours,
    2. Advising them how to co-exist with other workers and neighbours.
  3. Whether Religious upbringing is the cause.
    1. Exposing the Workers to locally acceptable religious practices
    2. Advising them on how to co-exist with other religious practices
  4. Whether having too much free time and too little control is the cause.
    1. Offering additional overtime and off day work as incentives.
    2. Offering skill up grading facilities.
    3. Offering facilities for group games to keep them occupied.
    4. Offering in house facilities like TV; VCR etc to keep them occupied.
    5. Offering arranged tours to enable them familiarise with Malaysia.
In very clear terms you must tell the workers what behaviour is totally not acceptable in multi -racial Malaysia.

ALWAYS REMEMBER THAT AN INDIVIDUAL WITH TOO LITTLE KNOWLGEDE; TOO MUCH FREE TIME AND TOO LITTLE CONTROL IS A POTENTIAL TROUBLE MAKER WHO WILL CREATE PROBLEMS FOR YOU.

WORKERS WELFARE

Each arriving legal Foreign Worker coming to Malaysia comes to work for Only For You and has no relatives or friends in Malaysia to depend upon other than you.
As a responsible Employer the onus is on you to ensure that each such worker is provided with:-
  1. Suitable accommodation with facilities for bathing; washing and drying of clothes.
  2. Access to and availability of suitable cooking facilities.
  3. Access to and availability of suitable facilities for recreation during free time.
  4. Access to and availability of suitable facilities to practice religious beliefs.
  5. Access to and availability of suitable facilities to communicate with family at home.
  6. Access to and availability of Medical attention when required.
  7. Facilities to receive payments of wages on time and in correct amounts.
  8. Facilities to remit money home freely.
  9. Protection from discrimination at work site.
  10. Protection from physical and mental abuse while at worksite or while at hostel site.
  11. Access to an Officer appointed by you who can help find solution to immediate problems.
A worker free of mental, medical and monetary worries always scores better marks

REPORTS OF MIA; WORK RELATED ACCIDENTS CRIMES AND DEATHS

While majority of Foreign Workers coming to Malaysia are law abiding and have come to work hard to earn good money to improve lives of their loved ones back home.

There will always be a few who are coming with other intentions like:
  1. Coming on a holiday at the Employers expenses.
  2. Obtaining Work Permit under one Employer but wanting to work elsewhere.
  3. Obtaining Work Permit under one Employer but intending to resort to crime.
Reports to The Police:
  • As a precaution, it is always advisable to register all arriving Foreign Workers with the Balai Polis nearest to your Worksite.
  • Always lodge a Police Report on any Foreign Worker who has gone missing from his Hostel for more than 72 hours, without first obtaining permission from you.
  • Always lodge Police Reports against any Foreign Worker who has committed a criminal act how ever minor it may seem to you.
Always make arrangements with The Local Police to visit your Workers once in a while. This can work both ways Workers feel protected whereas the naughty ones will feel they are being watched.

Reports to Jabatan Imigresen:

  • Police Reports on Runaway Workers must be registered with Jabatan Imigresen.
  • Always obtain Check Out Memo of all Foreign Workers who are leaving the country for good.
  • Always inform Jabatan Imigresen on any Foreign Worker who went home on leave but did not return to continue working for you. He could have returned but only to work elsewhere.
You must register such Police Reports with Jabatan Imigresen to absolve yourself from any responsibility against any wrong doings by the MIA and crime propagators.

Reports to Jabatan Buruh:

  • Always report Work Accidents to Jabatan Buruh.
  • Always report Work Accidents to your Insurer to facilitate financial claims.
Reports to Foreign Embassies:
  • Always report serious accidents to the Embassy of the affected Worker.
  • Always report MIA to the Embassy of the concerned Worker.
  • Always report Deaths to the Embassy of the demised Worker.
EXTENSIONS AND TERMINATIONS OF EMPLOYMENT CONTRACTS

Always ensure that each arriving Foreign Worker has entered into a registered and valid Employment Contract with you at any one time.
  • Initial Employment Contracts are usually valid for a period of Two (2) calendar years effective from date of arrival of the said Worker at your Worksite.
  • The purpose of having Contract of Employment is not only to confirm the terms and condition of employment offered to the Worker but also to define the rules of employment and the duties and responsibilities of both parties.
  • Employment Contracts are always used as points of reference in the event of a dispute hence the need for the Contract to be all encompassing and being correctly worded.
  • No employer would want to be caught with his pants down in the event of a dispute especially when having to face technically qualified Lawyers, Jabatan Buruh or Officials of the Embassy of the Affected Worker.
  • Terms and Conditions related to Extension of the Employment Contract should very clear and precise. Details on the additional or new responsibilities and liabilities of both the Employer and Worker; and financial involvements should be clearly stated.
  • Extensions of Employment Contracts are by mutual consent of The Employer and the Worker the period of extension being determined by currently valid rules of Jabatan Imigresen and Kementerian Dalam Negeri.
  • Terms and Conditions related to termination of the Employment Contract by either the Employer or the Worker should be stated very precisely. The liabilities and responsibilities of the Employer and the Worker should be clearly stated.
SKILLED FOREIGN WORKERS.

  • Currently, Kementerian Dalam Negeri allows Foreign Workers to employed for a maximum of three (3) years effective from the date of their arrival in Malaysia .
  • This is subject to their Work Permits being renewed each year.
  • Upon completion of their third year, these Foreign Workers must return to their home Country.
  • The Work Permits of Foreign Workers can be extended beyond the third year, if the said worker can be classified as a skilled Worker by Majlis Latihan Vokasional under Kementerian Sumber Manusia.
  • For this purpose, The Employer will have to make arrangements with Majlis Latihan Vokasional under Kementerian Sumber Manusia to have the skills of the said Workers tested and certified.
  • The Work Permits of the Foreign Workers who have been certified as Skilled Workers can be extended for another three years - subject to introduction of new rules and regulations.
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