Controversial migrant worker system gets new lease, sources say

The government will extend its relationship with Bestinet Sdn Bhd, with the continued use of the controversial Foreign Worker Management System (FWCMS) for another three years starting today.

However, the terms of the agreement with the company, which has played a growing role in migrant recruitment over the years, remain unclear.

Industry sources told Malaysiakini that the government will retain greater control over the processes.

This includes reducing the amount Bestinet gains per worker, from RM100 to RM80.

According to a government source, the cabinet agreed to extend the use of FWCMS on May 29 after reviewing a paper presented by the Home Ministry.

The renewal will also clearly draw the roles of the two ministries that manage migrant workers in the country.

“The Home Ministry will own the system, while the Human Resources Ministry will be the end user of the platform,” explained the industry source.

However, Home Minister Saifuddin Nasution Ismail did not respond to queries when contacted.

Malaysiakini has also reached out to Bestinet president Aminul Islam Abdul Nor for comment.

Weaknesses in FWCMS

The cabinet decision came after the 2022 Auditor-General’s Report, published last year, revealed that FWCMS had many weaknesses making it susceptible to manipulation, with instances of conflict of interest and breach of governance and control.

The auditor-general also could not find a clear method for how the tool was implemented.

Despite seven years of operation, there was still no agreement between the government and Bestinet, which left the government’s rights unclear in the arrangement.

Government auditors found no signed contract detailing company obligations and the unauthorised use of the Human Resources Ministry’s super admin accounts by Bestinet.

Another alarming factor in the relations between Bestinet and the government was the issuance of a letter of acceptance by the Home Ministry to develop, supply, provide, and maintain FWCMS for six years from April 1, 2018, to May 31 this year.

The Auditor-General’s Report said this agreement involved 14 modules valued at RM1.049 billion.

PAC also found issues

The report triggered a Public Accounts Committee (PAC) inquiry into this mechanism.

However, the findings from the PAC investigation may be too late to influence the decision to renew.

The committee's findings will only be tabled in Parliament when the august house convenes later in June.

According to sources, the committee's initial findings also found issues with the application of FWCMS and certain key players.

The roles of the two ministries in managing FWCMS had been compromised.

Bestinet officials were among those who testified before the PAC.

Last week, it was reported that the government was under pressure to renew the lease with the platform linked with trafficking allegations, despite the intentions of Prime Minister Anwar Ibrahim’s regime to overhaul the system.

Channel News Asia, quoting government sources and documents sighted, reported that the contract with Bestinet to operate FWCMS, the sole platform used by the Immigration Department for visa applications from 15 labour-sending countries, was set to expire yesterday.

Government sources told CNA that privately controlled Bestinet, a firm with strong ties to top politicians and a history of controversy, was pushing back against the government’s migrant labour reform agenda.

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