Malaysia refuses Nepal's call to open all agencies for worker recruitment

Malaysia has confirmed it will maintain a curated roster of 25 primary and 250 sub-agencies for recruiting Nepali workers, rejecting Nepal’s appeal to open the market to all government-licensed manpower firms. The decision, conveyed in a diplomatic note, upholds the Foreign Workers Centralised Management System that bars non-listed agencies from sending workers after November 5. Nepal’s Ministry of Labour and Employment said it is holding internal consultations and will issue a response after high-level talks, noting three formal letters of concern have been sent.

The stalemate grew after Nepali agencies sought to withdraw from the FWCMS, alleging cartel-like behaviour, prompting a phone discussion between Labour Minister Ramji Yadav and Malaysia’s Human Resources Minister Ramanan Ramakrishnan. Both sides pledged to keep dialogue open to protect migrant workers. In parallel, Malaysia unveiled a plan to raise its monthly minimum wage to 2,000 ringgit from June 2027, a move that will also cover foreign employees, though small businesses will receive a delayed implementation period.