
The Malaysian government clarifies that a proposed AI-driven digital recruitment system for foreign workers is still under review, with no final decisions or agreements made.
PUTRAJAYA: The Ministry of Human Resources (KESUMA) has stressed that no decision has been made on implementing a digital foreign worker recruitment system. All proposals remain under evaluation, with no commitments or agreements finalised with any party.
The ministry is currently reviewing the proposal through preliminary engagements with labour source countries and industry stakeholders. It stated that any reports suggesting a final decision are untrue and misleading.
A comprehensive study identified gaps in the current recruitment ecosystem, particularly risks of debt bondage and worker exploitation in source countries. KESUMA is exploring an artificial intelligence-based digital system to improve the overall process.
This proposed system would enable direct recruitment by employers based on actual workforce needs. It would cover the entire process in source countries, from registration and selection to contract agreement and deployment.
“Recruitment costs will be fully borne by employers, thereby reducing reliance on intermediaries and ensuring no financial burden is placed on foreign workers,” KESUMA said. The approach aligns with International Labour Organisation principles for fair and ethical recruitment.
The ministry added the proposal has the potential to address human trafficking and forced labour issues. It could strengthen Malaysia’s efforts to achieve Tier 1 status in the US Trafficking in Persons Report.
The system would focus solely on post-quota approval recruitment in source countries. It would not affect pre-recruitment processes like quota approvals or the roles of existing regulatory agencies.
Any eventual implementation would be fully controlled by KESUMA in terms of policy and operations. It would be integrated with existing government systems, including the Foreign Worker Centralised Management System.
The role of private employment agencies in Malaysia would remain unaffected. KESUMA views the proposal as a platform usable by employers directly or through these agencies.
Efforts to strengthen recruitment have received positive support from major labour source countries like Bangladesh, Indonesia and India. This support focuses on enhancing transparency and operational efficiency.
At the industry level, major business associations representing nearly one million members have backed the modernisation effort. The Federation of Malaysian Manufacturers, representing over 13,300 companies, has also welcomed the proposal.
Any future implementation will require Cabinet consideration and approval after engagements with all relevant parties. KESUMA reiterated its commitment to developing local talent as the core of labour market reform.
This aligns with the long-term agenda to reduce reliance on foreign workers as outlined in national development plans.

