North South Initiative executive director Adrian Pereira lamented that there was no clarity on certain issues and that discussions about the directive were done behind closed doors.
“What are the updates on the directive? Are they allowed to work? Why does this remain a gray area?” he asked at a press conference.
In 2022, then human resources minister M Saravanan had said the government was working on a guideline to allow refugees to work in Malaysia but that refugees with UN High Commissioner for Refugees (UNHCR) cards would only be allowed to work in the informal sector.
As of September last year, there were 191,832 refugees and asylum seekers registered with UNHCR Malaysia.
Pereira said with Malaysia chairing the Asean bloc this year, the need for clear policies on the matter was even more urgent.
“As Asean chair, Malaysia must demonstrate leadership in labour, economic and security reforms. Refugees’ right to work and migrant worker rights are fundamental. If we cannot show commitment, it reflects poorly on us.”
Pereira warned that the lack of progress in tackling forced labour could harm Malaysia’s global reputation and trade.
He pointed out that refugees often worked in supply chain industries, and failure to adhere to International Labour Organization (ILO) standards could lead to accusations of forced labour.
“Europe is implementing the Corporate Sustainability Due Diligence Directive and if Malaysia cannot prove it is eliminating forced labour and guaranteeing freedom of association, our products and services risk rejection in global markets.”
The ILO has long established standards for migrant workers’ rights, including the right to unionise. However, Pereira said Malaysia lagged behind in implementing these measures.
Migrant workers and unions
Pereira also touched on the difficulties faced by migrant workers in joining trade unions. He said some employment contracts restricted union membership, while others relied on verbal intimidation to discourage participation.
“There are cases where employers tell migrants that joining unions would result in non-renewal of contracts.”
There are 756 trade unions in Malaysia and only 17 have migrant worker members, amounting to a mere 34,872 migrant members from an estimated 2.4 million foreign workers, he added.
“This inequality gives businesses an unfair advantage, enabling them to exploit workers. Migrant workers must have the right to join unions without fear of dismissal or other forms of retaliation.”
Separately, Ng Yap Hwa of the Labour Solidarity and Learning Resources Association (LLRC) revealed how employers had been stopping blue-collar workers from registering as union members.
A report by LLRC identified 10 tactics used by some employers, including demotions, intimidation, bribery, taking workers on day trips on balloting day and wrongful classification of workers.
“Many companies hire human resource experts or anti-union consultants to prevent unions from advocating for the rights of workers.
“They advise the companies to take the union to court and delay the process as much as possible. Unions then have to fork out at least RM100,000 of their own money, which causes a financial burden,” said Ng.