Foreign worker fees ‘up nearly RM2,000’ in new Sarawak system

Foreign worker fees ‘up nearly RM2,000’ in new Sarawak system

Companies fear the higher fees, on top of charges imposed by Putrajaya, would affect their competitiveness.

pekerja balak
New fees levied under Sarawak’s online Foreign Workers Transformation Approach system are for work permits, visas and identity cards. (Bernama pic)
PETALING JAYA:
Companies in Sarawak are expected to pay nearly RM2,000 more when applying for migrant worker employment permits under a new permit application system implemented by the state last Wednesday.

Agriculture firms would need to pay a total of RM9,376 in various fees per foreign worker compared with RM7,522 previously, according to industry sources quoted by the Borneo Post.

Companies in the timber industry will also face a similar increase from RM5,229 (downstream) and RM5,524 (upstream) per worker to RM7,083 and RM7,378 respectively.

The higher fees are levied under the new Foreign Workers Transformation Approach system, an online platform.

The Borneo Post reported that companies in the timber industry would have to fork out RM950 for every application for approvals in principle, RM335 for a labour licence, RM215 for an electronic visa with reference, and RM324 for a foreign worker identity card.

There was also a nominal fee of RM30 to register workers on the Sarawak foreigners health information system.

Employers were previously not required to cover these costs.

The state government had said the new system was to ensure faster processing of applications, while centralising the data of all foreign workers and providing greater transparency.

The Sarawak Timber Association had previously appealed to state premier Abang Johari Openg to intervene, saying the transition to the new system was abrupt and that there was a lack of consultation with stakeholders.

The association’s CEO Annie Ting feared that the higher costs would affect the competitiveness of Sarawak companies both nationally and regionally, in bearing the additional fees on top of charges imposed by Putrajaya.

The Sarawak Association of Marine Industries also urged the state to review the system, while the Sarawak Dayak Oil Palm Planters Association said Dayak smallholders would be particularly burdened as most of them hire foreign workers for their farms.

Stay current - Follow FMT on WhatsApp, Google news and Telegram

Subscribe to our newsletter and get news delivered to your mailbox.