Bangladesh, Malaysia Must Sign Binding Labour Pact to Protect Migrant Workers: Fortify Rights
Migrant Welfare Network and Fortify Rights have urged Bangladesh and Malaysia to establish a legally binding labour agreement before resuming large-scale recruitment of Bangladeshi workers amid renewed efforts to reopen Malaysia’s labour market, following years of recruitment restrictions and reports of exploitation.
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In a Nutshell:
- Migrant Welfare Network (MWN) and Fortify Rights called on Bangladesh and Malaysia to establish a binding bilateral labour agreement to protect migrant workers.
- The groups said previous memorandums of understanding (MoUs) included safeguards but failed to prevent excessive recruitment fees, debt bondage, wage theft, passport confiscation and unsafe working conditions.
- They said a new agreement must create enforceable obligations and provide workers with effective remedies when their rights are violated.
- Malaysia stopped accepting new migrant workers from multiple countries in 2024.
- More than 800,000 Bangladeshi workers currently hold active work permits in Malaysia, making Bangladesh the country’s largest source of migrant labour there.
- Bangladesh and Malaysia signed their latest MoU on migrant worker employment in 2021, replacing earlier agreements from 2003, 2012, and 2016.
Context
Malaysia has long been a major destination for Bangladeshi migrant workers, but its recruitment system has repeatedly faced allegations of corruption and worker exploitation. Previous agreements between the two countries were suspended several times, while reports of excessive recruitment fees and debt bondage continued. Malaysia halted new recruitment from multiple countries in 2024. According to an earlier report by Nutshell Today, efforts to reopen the labour market gained momentum following Prime Minister Tarique Rahman’s visit to Malaysia in June. However, a subsequent announcement by a Bangladeshi state minister that Malaysia would recruit 200,000 workers was denied by Malaysian officials. Against this backdrop, MWN and Fortify Rights have called for a binding agreement that makes worker protections enforceable before recruitment resumes.
Why It Matters
The proposed agreement addresses a longstanding problem in Bangladesh’s overseas employment system, where workers face heavy recruitment costs and exploitative conditions even when formal protections exist. The 2021 MoU included provisions on employer-paid travel and immigration costs, accommodation, medical insurance, weekly rest days, overtime pay and compensation for workplace injuries. Yet rights groups say such safeguards have not been enough to prevent abuse. A binding agreement may enforce workers’ rights and secure remedies when violations occur. Moreover, more than 800,000 Bangladeshis currently work in Malaysia, while remittances remain an important source of foreign exchange for the country. Reopening recruitment may create employment opportunities and increase remittance flows, but a process that allows high fees, unclear recruitment practices, or weak protections to continue may leave workers bearing the financial risks. The focus is therefore not only on how many workers can travel to Malaysia, but also on the conditions under which they are recruited and employed.
What We Think
Legally binding agreements protect migrant workers from exploitation and heavy debt better. In contrast, non-binding memorandums may allow corruption, high recruitment fees and financial risks to continue. Therefore, before large-scale recruitment resumes, it's better for both countries to establish clear rules and shared responsibilities in advance to ensure safe and fair working conditions for migrant workers.