Employers of foreign workers found to be undocumented should have their assets frozen for failing to complete the 'enforcement card' (E-kad) registration for their staff, said Johor PKR chief Hassan Karim.

The Immigration Department is conducting daily raids on foreign workers after the deadline to register undocumented workers lapsed this week.

"Stern action should be taken against employers and employees who fail to obtain the E-kad.

"There should be no hesitation to both, deport migrant workers and take legal action against the employers who failed to register their undocumented staff, by freezing their assets and bank accounts," he said in a statement.

He noted that Section 55B of the Immigration Act states it is an offence to hire undocumented workers.

The Immigration Department said only about 23 percent of the 600,000 undocumented foreign workers targetted had applied for the E-kad.

At deadline on June 30, only 155,688 undocumented workers were registered by 26,957 employers. Some 140,746 E-kad were issued.

The actual figures of undocumented workers, however, may be even higher with the Human Resources Ministry estimating that only 2.1 million of about 6.7 million foreign workers in Malaysia have permits.

The E-kad is an initiative launched by the government to allow undocumented workers a chance to obtain a permit and fulfil labour gaps.

Meanwhile, Hassan said while there is a need for foreign labour, an influx will cause unfair competition for locals.

"We cannot deny that they are needed but there is negative impact without proper controls. Besides, aren't these undocumented workers already criminals since they illegally breached our borders?" he asked.