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Malaysia Employment: Are Syndicate Operators More Powerful Than the Government? Whose Plan Is This?

२३ बैशाख २०८२, मंगलवार १९:०६

By Anil Adhikari

April 23, 2025 | Tuesday | Kathmandu – Amid ongoing concerns about syndicates in Malaysia-bound foreign employment, reports have surfaced suggesting that a similar scheme to the infamous medical syndicate is now being attempted in the recruitment sector as well. According to sources, a plan is underway to allow only 25 selected manpower agencies to send workers to Malaysia under a syndicate system. If successful, this model could mirror the widespread irregularities seen in Bangladesh’s labor market.

Under the syndicate’s plan, manpower companies in Nepal would be required to pay a commission of 4,000 Malaysian Ringgit per worker for securing Malaysian job demands—an amount only slightly lower than current informal industry standards.

Citing the powerful influence of syndicates in Nepal, particularly in the medical examination sector, insiders warn that syndicate operators often become more powerful than the government itself. In Bangladesh, journalists have reported that labor syndicates have wielded influence beyond that of government institutions. Should a similar system take hold in Nepal, it could severely impact the country’s economy by reducing remittance inflows.

Reports claim that a massive deal worth nearly NPR 2.5 billion has been orchestrated to monopolize the Malaysian labor demand process. Syndicate operators have allegedly approached various Nepali manpower businesses to participate in the deal, some of whom have already engaged in secret negotiations.

Sources say that the attempt is being driven by actors involved in Nepal’s medical syndicate, working in coordination with a notorious Bangladeshi syndicate leader named Amin, who has long dominated Malaysia’s foreign worker recruitment systems. These players are reportedly working to ensure that only a fixed number of manpower agencies receive job demands, using tactics including bribery and lobbying in both Nepal and Malaysia.

Currently, only 36 pre-approved medical centers in Nepal are allowed to conduct medical exams for Malaysia-bound workers. If the proposed employment syndicate follows the same pattern, only select manpower companies would be permitted to send workers abroad.

Sources also claim that some manpower companies are scrambling to be included in the syndicate list, while others have been asked to contribute NPR 100 million each to join the inner circle. Those unable to raise the full amount are being advised to partner with other manpower companies and act as sub-agents, taking a cut from the demand allocation.

Each of the 25 chosen companies could potentially appoint up to 10 sub-agent companies. The syndicate would allow these sub-agents to operate under the main license-holders, further entrenching the monopoly.

Information from ongoing discussions suggests that high-level officials in Nepal’s Ministry of Labor and Ministry of Foreign Affairs may already be complicit in the plan. The Malaysian side reportedly plans to use the same strategies that enabled the syndicate in Bangladesh, including bribery of public officials and control of demand through a centralized system.

Syndicate Proposes Commission of 4,000 Ringgit per Worker

If the syndicate succeeds, each manpower agency would need to pay a commission of 4,000 Ringgit per worker when securing demand letters. Half of this would go to the agent who secures the demand, while the other half would go to the syndicate leaders. Despite this being close to current commission levels, the syndicate model would formalize and centralize corruption on a massive scale.

Workers would still be responsible for paying for their own tickets, agent commissions, medical exams, and labor approvals—potentially amounting to NPR 300,000 per worker. This undermines the recent progress in ethical recruitment practices, where a small portion of workers had started going abroad without paying large fees.

If demand letters are funneled exclusively through syndicate-approved manpower companies, even ethical demand allocations would be corrupted, discouraging foreign employers from working with Nepali agencies due to lack of transparency and rising costs.

Who Is Behind the Syndicate in Nepal?

Before talk of a Nepal syndicate surfaced, Bangladesh had already implemented one—allowing only selected agencies to send workers to Malaysia. A study found that Bangladeshi workers were charged up to $5,000 due to the syndicate’s grip.

Protests were held in Dhaka on Monday against the syndicate. The central figure behind Bangladesh’s syndicate is Aminul Islam Bin Abdul Nor, a Bangladeshi national based in Malaysia. He controls key labor management systems like FWCMS and MiGRAMS and is accused of monopolizing recruitment through corrupt deals with powerful manpower agents and political figures.

Amin has also reportedly cultivated strong ties with certain Nepali agents and medical institutions. According to sources, this collaboration is at the root of attempts to introduce a similar system in Nepal.

Federation Issues Warning Against Syndicate

President of the Nepal Association of Foreign Employment Agencies (NAFEA), Bhuwan Singh Gurung, has warned of serious consequences for anyone involved in the syndicate.

“Those dreaming of establishing a syndicate in Nepal should stop now,” Gurung said. “If any manpower company is found to be collaborating, and evidence such as photos of meetings emerges, we will revoke their NAFEA membership within 24 hours.”

He further cautioned that physical confrontations or attacks could arise if businesses feel threatened, urging all agencies not to fall under syndicate influence. “This kind of business cannot be done in Nepal,” he said.

Despite rising commissions—up to 10,000 Ringgit per demand—and rampant hundi transactions, the government has remained silent. This silence has been interpreted as implicit support by some, further emboldening syndicate players.

As the Malaysian market becomes increasingly unaffordable for Nepali manpower agencies, syndicate leaders hope to exploit the situation by introducing demand lotteries and exclusive access to job orders—while enriching themselves and compromising the rights of migrant workers.

प्रतिक्रिया दिनुहोस्

मुख्य समाचार
सन्तुलित, समावेशी र पारदर्शी रूपमा बजेट बनाइनुपर्नेमा जोड ‘विकाससँग सांसद जोडिनुपर्छ’ दक्षिण सुडानमा पाँच लाख ६० हजार शरणार्थीको बसोबास : राष्ट्रसंघ धुर्मुस–सुन्तलीले राम्रो उद्देश्यले क्रिकेट रंगशालाको काम गर्दा धेरै दुःख पाए: प्रधानमन्त्री ओली कृषिउपजको उचित मूल्य र बजार पाउनुपर्नेमा जोड नेपाली कांग्रेसकी सांसद राईविरुद्धको पुरक अभियोजनमा ३७ लाख बिगो मागदाबी गर्दै मुद्दा दायर बजेटमा कृषि, पर्यटन, पूर्वाधार निर्माण, सूचना प्रविधि क्षेत्रलाई प्राथमिकता दिन सांसदहरूद्वारा अनुरोध ब्रह्माण्ड सोचेभन्दा छिटो मर्दैछ : नयाँ अनुसन्धान सरकारले कोरियामा डी टू र डी फोर भिसामा अध्ययन गर्न जाने विद्यार्थीहरूलाई एनओसी दिन स्थगित अमेरिकी निर्वासनले ‘गम्भीर चिन्ता’ निम्त्याउँछ : संयुक्त राष्ट्रसङ्घीय अधिकार प्रमुख डब्लुएचओद्वारा नाकाकन्दीका कारण गाजामा अनिकाल र जोखिमको चेतावनी पाकिस्तानी जेलबाट एक हप्तामा ३३० अफगान कैदी रिहा कानुन र नीतिगत सुधारलाई प्राथमिकता : गृहमन्त्री लेखक ‘सिनेपा’ को निर्माण आरम्भः चलचित्र क्षेत्रका लागि एक प्रकारको क्रान्ति–प्रधानमन्त्री काठ आयात प्रतिस्थापनमा जोड कर्मचारीको सेवासुविधा समयानुकूल बनाउनुपर्ने पार्टी कार्यालय एक-एक रुपैयाँमा बनाउँछौँ भन्ने निस्किए: प्रधानमन्त्री ओली राप्रपा शाहीले कांग्रेसका २ महामन्त्रीलाई भने – नीति तथा कार्यक्रम छलफलमा कहीँ पनि देखिनुभएन किन ? दोहोरो अङ्कले घट्यो नेप्से, नौ अर्ब ६३ करोड ४८ लाखको कारोबार अवरुद्ध बिपी राजमार्ग १६ घण्टापछि सञ्चालनमा