AI-powered migrant worker recruitment no panacea for governance failure: Group

An NGO has questioned the government’s plans to introduce an AI-powered system for recruiting migrant workers, asking how it solves the governance issues that have plagued the existing Foreign Worker Centralised Management System (FWCMS).

Monitoring Sustainability of Globalisation (MSN) said merely labelling something as being AI-powered does not fix governance failure, and asked what safeguards are in place to prevent the new system from repeating past mistakes.

“The exploitation of migrant workers in Malaysia was described by the UN as widespread and systematic. AI systems must not replicate this.

“No technology can build trust while impunity for past wrongs remains the norm,” said MSN director Charles Santiago and researcher Aishwarya Visvanathan in a statement on Saturday.

Among the questions the group raised are whether stakeholders were consulted, the cost of the project, whether there was a pilot test, and how it will stop forced labour.

“Will the AI platform go through transparent public procurement or direct negotiation?” it added, noting that the FWCMS contract was awarded to Bestinet without an open tender and was operated without a contract with the government for six years.

MSN also asked how the system would ensure the recruitment process adheres to the International Labour Organisation (ILO) guideline that employers must bear the full cost of the recruitment.

“Workers often pay these fees to informal brokers in their villages. How is AI going to track this? Digital technology must be complemented with strong, legally binding provisions,” it said.

The ILO guideline is intended to reduce the risk of debt bondage and exploitation.

READ MORE: Direct hiring alone won't end migrant worker exploitation - rights group

In February, it was reported that the Human Resources Ministry is developing a system to facilitate the direct hiring of migrant workers to curb exploitation and reduce recruitment costs.

The system is expected to be ready later this year.

Cutting out intermediaries

The Malaysian Reserve quoted Human Resources Minister R Ramanan as saying that the proposed system allows employers to communicate with prospective workers and ensure they fully understand and agree to the terms of employment, instead of relying on an intermediary.

The system will help match employers with suitable workers based on job requirements and facilitate virtual interviews between them. AI will be integrated into the interview process to provide real-time translation and overcome language barriers.

“It is understood that the proposed system will adopt a government-to-government approach, with no involvement of third parties and that MyDigital ID will play a central role in worker identification, salary crediting and administrative processes,” the The Malaysian Reserve report stated.

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The minister acknowledged that the system may not fully resolve long-standing labour issues, but at least cuts out intermediaries.

“At the very least, it addresses the middleperson issue and helps reduce excessive recruitment costs,” he said.

Ramanan reportedly said discussions are ongoing with the Home Ministry and key stakeholders before it is tabled before the cabinet for approval. Talks are also taking place with source countries to ensure the system aligns with their legal and regulatory frameworks.

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