Malaysia Plans AI-Driven Hiring System to Recruit Foreign Workers Without Middlemen
The Chronify
Government considers new digital platform to cut migration costs, but concerns grow over control and transparency
Malaysia is moving towards a major overhaul of its foreign worker recruitment system by introducing an AI-powered digital platform aimed at eliminating intermediaries. The proposed system, known as the Universal Recruitment Advanced Platform (URAP), has been developed by Bestinet Sdn Bhd.
The platform is designed to allow employers to directly recruit foreign workers without relying on agents, a move expected to significantly reduce migration costs. Malaysia’s Human Resources Minister R. Ramanan confirmed that the government is positively considering the adoption of the system.
Under the proposed model, companies may be charged around $1,000 per worker application, along with a fee equivalent to one month’s salary. Bestinet, led by Bangladeshi-origin entrepreneur Aminul Islam, has described the initiative as a groundbreaking step that could set a global benchmark for direct hiring practices.
However, the plan has triggered mixed reactions among policymakers and industry stakeholders. Critics, including former minister Steven Sim, have raised concerns about granting excessive control to a single company and the potential complications of removing licensed recruitment agents.
Some experts warn that large-scale employers may face operational challenges without intermediaries, which could unintentionally lead to irregular or unregulated hiring practices.
The proposal has also drawn attention due to ongoing legal and regulatory scrutiny surrounding Bestinet’s operations, with reports of coordination between Malaysian authorities and the Bangladeshi government on related matters.
Currently in its early stages, the URAP project is awaiting final approval from Malaysia’s Home Ministry and cabinet. The initiative was also discussed during a recent meeting between Malaysian Prime Minister Anwar Ibrahim and Bangladesh’s Labour Minister Arif Chowdhury, raising hopes that Malaysia’s labour market for Bangladeshi workers closed since 2023 could soon reopen under a more streamlined and transparent system.
