Malaysia rejects Nepal’s demand to open recruitment to all manpower agencies
Summary
Malaysia has rejected Nepal’s request to open worker recruitment to all licensed manpower agencies, keeping its restricted FWCMS-linked system in place. The standoff has stalled new Nepali labour deployment even as Malaysia separately plans to raise its minimum wage from June 2027.
Key Points
- Malaysia will continue allowing recruitment only through its approved list of 25 primary agencies and 250 sub-agencies under the FWCMS system.
- Nepal’s Labour Ministry says it is consulting internally after repeated diplomatic notes and a phone call between labour ministers failed to change Malaysia’s position.
- Nepali authorities have stopped attesting demand letters from the listed agencies and are investigating recruitment firms involved in the dispute.
- Malaysia also announced a minimum wage rise to 2,000 ringgit from June 2027, which will apply to foreign workers, including Nepalis.
