The committee said it found that the ePPAx was not working properly and had inefficiencies, preventing the ministry from making full use of the system.
Among key features that were not working included its quota calculations and preliminary screenings for migrant workers. The PAC said there were also issues with managing the system’s user IDs, raising security concerns.
“The ministry must make sure that the ePPAx system is fully utilised to avoid wastage of public funds.
“They must make it a priority to carry out system upgrades to make sure the system is even more effective,” it said in a report on the ePPAx and Foreign Workers Centralised Management System (FWCMS).
The committee also said the ePPAx system must be ready for incoming policies involving foreign workers, such as the multi-tiered levy system which will be implemented next year.
The ePPAx is meant to simplify the recruitment and management of foreign workers by digitising workflows and ensuring compliance with the Employment Act 1955.
The PAC previously said there were overlapping functions between agencies in developing the ePPAx and FWCMS, which is a waste of government funds.
The ePPAx is used by the human resources ministry while the home ministry uses the FWCMS.
Bestinet contract renewal cause for concern
The PAC also flagged the home ministry’s renewal of Bestinet Sdn Bhd’s contract to provide IT systems for the FWCMS, saying it was a cause for concern.
It said the processing fee per permit had soared to RM215 for each foreign worker, far above earlier rates, and could cost the government RM3.22 billion over the next six years.
“The contract terms are overly favourable to the service provider,” it added.
However, Malaysiakini quoted Bestinet CEO Ismail Noor as saying the calculations in the PAC’s report were inaccurate.
The PAC also said it found that the FWCMS was open to access by unauthorised users, adding that this was not due to hacking but a technical problem in the platform.
“The PAC is deeply concerned about the technical weaknesses that allowed the FWCMS system to be used by unauthorised users.”
It also urged the home and human resources ministries to work more closely in managing foreign workers.
While the new National Integrated Immigration System (NIISe) would eventually replace the FWCMS, the PAC warned of inefficiencies if it was not integrated properly with the ePPAx.