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Manpower companies fleece Nepali migrant workers of Rs 1 bln

Collected money prior to processing for Malaysia

Ramesh Bharati

November 12, 2019

5 MIN READ

Manpower companies fleece Nepali migrant workers of Rs 1 bln

KATHMANDU: A recent study on foreign employment has made a shocking revelation that many manpower companies working for foreign employment in Malaysia collect money from aspiring youths prior to processing for the job.

It is found that manpower companies have been collecting 7 thousand 7 hundred rupees per person as the charge for Biometric Health Screening and Immigration Security Clearance (ISC).

Department of Foreign Employment, the regulating body under the Ministry of Labor, Employment and Social Security has initiated actions to curb such manpower companies once the news became public.

As a prompt response to such offense, the Department has issued a press release demanding the manpower companies to return such money instantly.

Dr. Bhisma Bhusal, director general of the department of foreign employment, confirmed the news and informed that once they got the news about such malpractice they issued a warning note to the manpower companies.

“As the department is committed to addressing the genuine issues relating to foreign employment, as our gesture we issued the warning, however, provided such warning is ignored, the department shall take strict legal actions,” he reiterated.

What’s the procedure?

Pre-approval is issued once the demand claimed by the individuals or the agencies is verified by the embassy abroad which is followed by an interview. According to the prevalent provisions, GSG and biometric health screening are to be executed only after the interview. It’s notable that the GSG and biometric health screening is valid only for three months.

The Department admitted the news about such health screening prior to the certainty of employment opportunity in Malaysia.

Dr. Bhusal vowed to take stringent action against the companies not complying with the directives regarding the return of the money collected in the name of health screening and GSG.

“Prior to the finalizing of the preapproval process, no workers willing to go to work for Malaysia should pay any charge in the name of health screening and GSG, hence, I request, the persons planning to go for work there not to submit any money in such headings,” the Director-General added vowing to take action against the companies not complying with the rules.

He has asked the companies to send the applicant with a letter and lot number while sending them for health screening and GSG.

Rs 1.5 billion collected from 200 thousand youths

The Department estimates the sum collected from the youths applying for employment in Malaysia to exceed 1.5 billion rupees. Each person has to pay Rs 4,500 for biometric health screening whereas they have to pay Rs 3,200 for GSG. However, the labor pact signed at ministry level in Kartik last year provisions that the employing company has to bear the cost for the biometric health screening and the GSG.

The manpower companies have got 200 thousand prospective workers to pay for the medical screening and GSG. Thus, they are estimated to have collected 1.54 billion rupees under these headings so far.

The department has smelt a rat in the manpower companies’ intent as they have collected the amount from more than 100 thousand workers when the preapproval has been confirmed only for 1,800 workers. Hence, it has demanded the companies to return the sum.

The warning from the department came as a response when it got the complaint that the companies had illegally collected the money for GSG and health screening from more than 200 thousand workers.

Kamal Tamang, an entrepreneur and the general secretary of Nepal Association of Foreign Employment Agencies, also opines that the manpower companies involved in such foul activities deserve strict actions from the government.

“It is a matter of grave concern that few agents are found to have collected money for health screening and GSG prior to getting permission for employment in Malaysia,” Tamang said, “they must have been in league with medical entrepreneurs for such foul activities.”

He blamed the negligence and foul intent of the government officials and a handful of corrupt people for defaming the manpower sector and demanded to form a probe committee to reach the crux of the issue.

“Instead of blaming the whole industry, the government should find out the culprit and take action,” he added ahead.

On behalf of NAFEA, the General Secretary promised cooperation and collaboration in the investigation.

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