MEF Urges Government to Engage Stakeholders on Formal Employment for Refugees

Arakan Now | 24 June 2025

The Malaysian Employers Federation (MEF) has called on the government to engage with a broad range of stakeholders—including businesses, trade unions, NGOs, and international bodies—to develop a comprehensive framework allowing refugees and asylum seekers to work legally in the country.

MEF president Syed Hussain Syed Husman said such a move would be mutually beneficial, helping to ease Malaysia’s critical labour shortages while advancing the country’s humanitarian responsibilities.

“We urge the government to work with all relevant parties to establish a clear and accountable system,” he said in a statement today.

According to Syed Hussain, the proposed framework should define the legal working status of refugees and asylum seekers, establish work permits, clarify employer responsibilities and workers’ rights, and ensure robust mechanisms for vetting, matching, and monitoring. He also emphasised the need to include skills training and recognition to ensure effective workforce integration.

He said the agriculture, construction, manufacturing, and care sectors are among the industries most affected by labour shortages and could benefit significantly from a properly managed refugee workforce.

“Allowing just 30% to 40% of refugees and asylum seekers access to formal employment could add an estimated 55,000 to 75,000 workers to the labour force,” he said, noting that these individuals are already living in Malaysia, potentially reducing recruitment time and cost for employers.

The MEF expressed readiness to work with government agencies on the proposal.

This comes as the federal government reviews policies regarding the employment of refugees. In February, Federal Territories Minister Dr Zaliha Mustafa said that authorities were in the process of refining a mechanism that would allow refugees registered with the United Nations High Commissioner for Refugees (UNHCR) to work legally in the country.

Malaysia is not a party to the 1951 UN Refugee Convention or its 1967 Protocol, and refugees holding UNHCR cards are currently limited to informal or irregular work arrangements.

Photo : Bernama