KUALA LUMPUR: Indonesian employment agency operators have threatened to stop sending workers to Malaysia following a drastic hike in visa processing fees under a new system outsourced to Bestinet Sdn Bhd.

An English daily reported that Malaysian visa fees for Indonesians had been increased from RM15 to RM250 under the foreign workers centralised management system (FWCMS), which Putrajaya has outsourced to Bestinet, a private firm now in the limelight because of its directors who are closely linked to the federal government.

The English daily said Asosiasi Perusahaan Jasa Tenaga Kerja Indonesia (Apjati), the body that represents over 500 employment agencies, has written to the Indonesian Parliament as well as the republic’s human resources and foreign ministries, urging an immediate halt on sending workers to Malaysia.

“We strongly reject the increase in fees. It is an exploitation of our citizens. Such an increase must be done through an agreement between both governments.

“Malaysia should have negotiated with our government first,” Apjati president Ayub Basalamah was quoted as saying.

“What is worse is that, in addition to paying the new RM230 processing fee, the previous RM15, and other minor charges, we have to provide details of our workers to a private company instead of to the Malaysian embassy.”

The additional fees are a “huge burden” to Indonesians looking to either work or study in Malaysia, he added.

The daily said Apjati is the largest association of private recruitment agencies in Indonesia, with its members sending more than 150,000 Indonesians to work in Malaysia each year. The hikes mean an additional cost of about RM34.5 million per year.

Indonesians wanting to work or study in Malaysia are required to apply for a visa with reference or more popularly known as a “calling visa”. 

With the exception of domestic maids, the visa fees are borne by the Indonesian workers and not by their employers.

The daily cited Malaysian ambassador to Indonesia Datuk Seri Zahrain Mohamed Hashim as saying that the embassy had been instructed by the home ministry to outsource the visa processing.

Zahrain was quoted acknowledging the complaints about higher visa fees from worker groups as well as students wanting to study in Malaysia, since the new system took effect in December. He said the steep increase in fees was “fair” as the company had to cover costs, which included conducting background checks to prevent fraud. — The Malaysian Insider

This article first appeared in The Edge Financial Daily, on January 29, 2015.