FOREIGN WORKERS

(1)

(2)

The Law And Practice In Malaysia

Ashgar Ali Ali Mohamed Farheen Baig Sardar Baig Muzaffar Syah Mallow Mohammad Naqib Ishan Jan

CLJ Publication

(3)

Perpustakaan~egaraMalaysia Cataloguing-in-Publication Data Foreign \\'orkers : the law and practice in Malaysia /'

Ashgar Ali Ali Mohamed ... let a1.]

Includes index

ISB:-J 978-967-0379-26-5

1. Labor laws and legislation--Malaysia,

2. Foreign \'/orkers--Legal status, law, etc.--Malaysia, 1. Ashgar Ali Ali Mohamed,

344.59501

Published by

The Malaysian Current Law Journal Sdn Bhd EI-2, Jalan Selaman 1/2,

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2013 'f; The Malaysian Current Law Journal Sdn Bhd ('MCLJ'),

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if

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131

HIRING MIGRANT WORKERS:

6.12 \VORKERS' r-.llJ\'IMUi\1 RESTRICTION WITH

STANDARDS OF HOUSING REFERENCE TO EMPLOY:\-1ENT AJ:\D MI/IENITIES ACT (RESTRICTION) ACT 1968

1990 132 hI' Ashgar Ali Ali,"fr,!wnud

6.13 SECTIOJ\ 2SA OF THE _7B.1 RESTRICTIONS VKDER CIVIL LA\.,TACT 1956 132 THE EMPLOYi\lEJ\'T

6.14 CONTRACT LAW 137 (RESTRICTlO:--.l) ACT 1968 177 6.15 PROTECTION AT 7B.2 RESTRICTION UNDER

COMMON LAW 140 THE E1IPLOYlvlENT

6.15.1 Implied Term of Trust (RESTRICTIOK)

and ConfIdence 140 (E)vIPLOYMENT PERJ\IIT) REGCLATIONS 1969 184

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Contents

7B.3 E;VIPLUYIJ-.:G i\HGRANT WORKER 'WITHOUTA VALID Ej\fPLOYlvIENT PERMIT: THE CRIMINAL

OFFEl\'CE 188

7BA EtIPLOY:'vlEl\'T OF

~llGRAl\T\VORKERSIN CONTRAVEI\'TIOl\

OF THE 1968 ACT: ITS EFFECTON CONTRACT OF EIVIPLOY,\IE:!\l 191 7B.S RE1IEDY OF .t.l1GRANT

\VORKERS 'VITH VALID

"VORK PERlvlITS WHOSE ElviPLOnIENT CONTRACT WAS PRE;\IATURELY

TERMIJ\ATED 193

7B.6 COJ\CLUSIOl\ 196

CHAPTER 8

EXPLOITATION OF MIGRANT WORKERS: ITS FORMS

8.1 IKTRODUCTlO:\ 197 8.2 DEFINITIOI\' OF MIGRANT

WORKERS 198

8.3 PULL AND THE peSH FACTORS DRIVING

f>.IIGR/..TION 200 8.4 EXPLOITATION OF

j\I1GRA~TWORKERS 200 8.4.1 Forms of Exploitation of

:'v'ligrant Workers 201 8.5 STATES' OBLIGATION TO

PROTECT THE HUMAN RIGHTS OF MIGRA;-JT

'VORKERS 209

8.6 CO~CLUSIO:-r 218

CHAPTER 9

EXPLOITATION OF MIGRANT WORKERS: THE LIKELY IDENTIFIABLE CAUSES

I']Jfliz4f;,,-SL/h M<lilo1<

9.1 l~TRODUCTIO~ 219

9.2 THE ABUSE AND EXPLOITATIOI\' OF j\IIGRANT WORKERS I:\

IvlALAYS1A 220

9.2.1 Inefficient and Inadequate Legal Protection towards IVfigrant Workers 222 9.2.2 Social '\Iisunderstanding

toward :'viigrant \Vorkers 226 9.2.3 Lack of Religious or Moral

Values of the Abuser or

Exploiter 226

9.3 CONCLUSION 230

CHAPTER10

EXPLOITATION OFMIGRA~T

WORKERS: A CASE STCDY

~:r,'f"z"f!'irSl"h_H~I,o,,'

10.1 INTRODUCTION 231 10.2 AI\ OVERVIE\V OF

REPORTED CASES IKVOLVIl\G THE

EXPLOITATIO~OF :VIIGRAXT WORKERS

IN~1ALAYSIA 232

10.3 ABUSE CASES INVOLVING

!vIIGRAKT \\'ORKERS IN MALAYSL,\: THE LEGAL

LMPACT 240

10.4 CONCLUSION 241

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CHAPTERIIA

EXPLOITATION OF MIGRANT WORKERS: CRIMIXAL

SANCTIOKS PROVIDED U:-\DER THE MALAYSIAN PENAL CODE by"~IIi;:;'!f!:"· s',,vi .1l,dlmc

11 A.l I)./TRODUCTlO)./ 243 l1A.2 Ai-: OVERVIEW OF THE

THEORY AND PRINCIPLES OF CRL\ll."JAL LA\\' 244 l1A.3 THE STANDARD CO:\.1:v[O;...r

LAW TEST OFCRI~I1NAL

LIABILITY; ACTUS NON FA CIT REL'M NISI MENS

SIT REA 249

IIA.3.1 Actus reus llA3.1.1 Act

250 251

Contents

CHAPTER lIB

CRII\UNAL OFFENCES AND CIVIL WRONGS BY OR AGAIKST :VUGRANT WORKERS brA5hg"l" Ali/Iii ,'>]olumed lIB.1 PHYSICAL ABUSE OR

ILL-TREATtvlENT OF MIGRANT'INORKERS;

THE PUI\'ISH/\'IENT 281 11 B.2 OFFEKCES AGAINST

.\UGRA:\T WORKERS:

ILLUSTRATION FRO.\l DECIDED CASES 284 IIB.3 A REVlEi-V OF SELECTED

CASES 289

11B.4 CO).!CLCSION 306

11.-\.3" 1.2 Omissiofl 252

II A.3.2 Mens rea 256 IIAA EXPLOITATION OF

:vIIGRAXT \VORKERS:

CRL\lINAL SANCTIO)./S PROVIDED UNDER THE MALAYSIA).! PENAL

CODE 260

l1AA.I Possible Sanctions under the :\'falaysian Penal Code

(Act 574) 260

l1A.4"2 Case Study Involving tlligrant iVorkers which Had Been Triedbythe Courts under the Penal Code 267 IIA.4.3 Criminal Sentencing

Principle in Malaysia 279 11A.6 CONCLUSIO).! 280

CHAPTER 12

EXPLOlTATION OF 1\ATIONAL OR lOCAL 'VORKERS AND THE LIABIlITY OF THE EMPLOYER

I"~r.{shgar.iiiAIi"\fohamid

12.1 INTRODUCTION 307 12.2 LABOUR IS );OTA

COMl',lODITY 310

n3

FORCED LABUL-R

PROHIBITED 311

12.4 RELATIOKSHIPOF Ml.,-TUAL TRFST

A:-.lDCONFlDEKCE 315

12.5 EMPLOYEES' RIGHTS IN EtvlPLOYlvlENT AKIN TO 'PROPERTY RIGHTS' 317 12.5.1 Vv'ithholding of Salary or

Failure of Salary Payment 318 12.5.2 Demotion or Reduction

in Status and Rank 320 12.5.3 Transfer of Employee 322 12.5.4 Secondment ;\lust Be

Bona Fide 326

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Contents

12.5.5 Retrenchmen

tJ

ustifiable on Genuine Commercial

Reasons 329

12.5.6 Outsourcing to Victimise

Employee 331

12.5.7 Voluntary Separation Scheme Being Forced or Coerced on Employee 332 12.5.8 Other Circumstances 334 12.6 CO;\lSTRUCTIVE

DISMISSAL Al\D

RE~IEDIES 335

12.6.1 Constructive Dismissal 335 12.6.2 Remedies for Dismissal

without Just Cause or

Excuse 340

12.7 CONCLUSION 342

CHAPTER 13

PRE,\UTURE TERMINATION OF FIXED-TERM CONTRACT AND ITS REMEDIES

b, Ashgar"4.1i A",lfobmed

13.1 mTRODVCTION 343

13.2 FIXED-TERM

E:-,rGAGE~vlEKTO:-,r

GENUI:---.rE GROUNDS 347 13.3 LEGITIivIATE EXPECTATION

OF REXEWAL OF FIXED TERM

ENGAGEMEKT 350

13.4 COMPENSATIOi>r FOR PREMATCRE TERMINATION OF FIXED-TEfu"f

CONTR..-\CT 356

13.5 HIRING j\IIGIL-\NT

\VORKERSOR EXPATRIATES ON FIXED-TERM

CONTRACT 358

13.6 CASES O:---.r NON-REKEWAL OF FIXED-TER;\1

CO:---.rTRACTS Il\VOLVIKG :'vIIGRANT \VORKERS 360 13.7 CO:-.fCLCSIOK 368

CHAPTER14

MIGRANT WORKERS: ADEQUACY AND SUFFICIEi\CY OFlA'W

byFarhal/ RugSard"r Batg

14.1 INTRODUCTIO:-,r 369 14.2 J'IIGR..tlcNT WORKERS'

ACCESS TO JUSTICE 370 14.3 ADEQGTACY A);"D

SUFFICIE:\CY OF THE

LAW 374

14.4 PROBLE1.-IS FACED BY

J\IIGRANT WORKERS 378 14.4.1 Discriminatory Wages 378 14.4.2 Inadequate Housing 379

14.4.3 Insurance 379

14.4.4 :'vIedical Facilitie s 379 14.4.5 Cancellation of \,\'ork

Permits 380

14.4.6 High Costs for Renewing

\Vark Passes 380

14.4.7 Other Related Problems 381 14.5 RECOM},IEN DATI ONS 382 14.6 ESTABLISHING i\UGRANT

\VORKERS' RIGHTS:

ITS L\IPORTAJ\CE 385 14.7 CONCLUSro:-.f 388

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Contents

16.2.2 t-.hIaysian Anti-Trafficking in Persons and Anti- Smuggling of Migrants Act 2007 (Act 670) 430 389 16.3 DECIDED CASES OF

HU;\fA.t--: TRAFFICKING:

AREVIE\V 454

391 16.4 ISLAMIC APPROACH TO 391 HUMAN TRA.FFICKING 475

16.5 COKCLUS1ON 477

519

527 516 507

520 Hong Kong

Singapore Saudi Arabia

17.1 INTRODUCTION 489 17.2 EMPLOY Hnvl \VHO IS

STROXGA::-.lD

TRUSnVORTHY 493

17.3 CO::-.lCLUSION 504 CHAPTER 17

DILIGENCE AND

TRUSTWORTHINESS: THE QUALITIES OF A ,\WSLIM El\{PLOYEE

18.2.6 CHAPTER 18

UvL.\UGRATlON LAW, RULES AND PROCEDURE FOR MIGRANT WORKERS: A COMPARATIVE STUDY FRO:"l VARIOUS JURISDICTIONS b, Mu::ajf"'- S~T~hlIallow 18.1 It\TRODUCTIOK

18.2 IlvU\lIGRATION LAW, RULES AKD PROCEDURE FOR lvIIGRAXTVlORKERS

~'NDERVARIOUS

JURISDICTIONS 510

18.2.1 enited States of America 511 18.2.2 United Kingdom

18.2.3 Australia 18.2.4

18.2.5 414

394 395 396 393 PROTECTION TO ASYLL-?-''1 SEEKERS EASIER SAID THA;..) D01\'E

CLASSIFICATlO:-.l OF

ASYLU~t

15.2.1 Definition of Asylum 15.2.2 Ddlnition of Asylum

Seeker 15.3

15.4

CHAPTER 15

ASYLUM SEEKERS AND THE RIGHT TO WORK

byJlrJIa",,,,,,d7\''''l,bf.,ha" J"n 15.1 1KTRODUCTION 15.2 THE DEFINITIONS OF

ASYLU;\l AND ASYLUlVl SEEKERS

15.4.1 Territorial Asylum 15.4.2 Extra-Territorial or

Diplomatic Asylum 399 15.5 THE RIGHT TO \\lORK: ISIT

AVAILABLE CKDER IKTERNATIONAL HU:-''1AX RIGHTS LAW TO ASYLUM

SEEKERS 404

15.6 THERIGHTTOWORK:ISlT AVAIL'\BLE TO ASYLUl'l SEEKERS IN MALAYSIA? 412 15.7 CO;..,rCLUSIOK

CHAPTER 16

HU,\IAN TRAFFICKIKG AND SMUGGLING OF MIGRANTS: THE INTERNATIONAL INSTRUMENTS AND DO'\'1ESTIC LAWS OF MALAYSIA

byA.'hgal·Ali Ali Jlohamtd

16.1 INTRODUCTION 415 16.2 HUMAN TRAFFICKING:

THE INSTRUMENTS 416 16.2.1 Cnited Nations Convention

Against Transnational

Organized Crime 416

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Contents

18.3 THE ISSUES ON THE LWLOITATION OF '>IIGRA.KT \VORKERS IN SINGAPORE, SAUDI

ARABIA^&HONG KONG 528

18.4 CONCLUSION 532

19.7.6 Protection of Informers or Whistleblowers 19.7.7 Implementation of

Nlinimum \\'ages Order:

The Guidelines

556

557

APPENDICES

CHAPTER 19 Appendix A

THE LAW ON MINIMUM WAGES Appendi..xB IXMALAYSIA

AppendixBA b)" A.<hgar ..li'l.41'.1 "Ho/Llmd

19.1 INTRODUCTION 533 Appendix C 19.2 1fINI;,fUIvI 'VAGE AppendixCA

FIXING CONVENTION, Appendix D 1970(NO. 131) 534 Appendix E 19.3 ~vIINr.\lU}'I \VAGE FIXI:-':G AppendlxF

RECO"ll\IEKDATION.

1970 (KO. 135) 536 INDEX

19.4 "nNI"ICNr RATE OF ''fAGES FR011 ISLA.\UC

PERSPECTIVE 539

19.5 :\HNIMCvI WAGE LAW IN SELECTED

COC'NTRIES 54!

19.6 NlINIMC'J\I WAGES ORDER2012

(MALAYSIA) 545

19.7 APPLICATIO;\f OF

!vIIN"IIvlUM WAGES ORDER: AN EivIPLOYEE UKDERACONT~'\CT

OF SERVICE 546

19.7.1 The Rates of Minimum

\-\!ages 549

19.7.2 Council to Review .\Iinimum

Wages Order 553

19.7.3 Negotiation for Restructuring

of \Vages 553

19.7.4 Enforcement of the !vIinimum '",,'ages Order 554 19.7.5 Compounding of Offences 555

579 579 582 599 619 628 637 676 682

697

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• MIGRATION OF FOREIGN LABOURERS INTO MALAYSIA *

3.1 INTRODUCTION

In the preceding chapter, it has been noted that the contract of employment is a personal or special comract that should be regulated not only by the contractual intention of the parties, but also by the principle

, ' '

of fairness. The influx of migrant workers into the lVlalay Peninsula during the British administration of the Straits Settlements and the

~Ialay

States forms the basis of this chapter. Reference is made to the introduction of the labour legi:;1ation

to

accord protection of these workers against exploitation and abuse by the employers. It is note,vorthy that the inflo,v of international migrants into the

~ralay

Peninsula is not a recent phenomenon. It started during the British colonial rule ,vhen the capitalist economic enterprises ,vere introduced together with necessary infrastructures.

i

Apart from the above, it is also worthwhile to brietly note the abolishment of serfdom and sla,-ery in England. The above discussion is relevant in so far as the treatment of migrant ,vorkers during the British administration of the Straits Settlemems and the Malay States is concerned.

In classical Roman la,\; slavery was defined as an institution 'whereby someone is subject to the power of another contrary

to

namre.'1 Slaycry was one of the principal exports of England, during the i\nglo-Saxon period.

³

These sla,-cs who were regarded as humans capable of being

•

This Chapter is contrihutedbyAshgarAli Ali \'1ohamed

Dorall. R. F., Foreign \Vorkers in \Ialaysia: Issues and Implications of Recent Illegal Ecollomic \'Iigration Ii-om the \'!aJay \\'orld ill The Trade 111 Domestic Hefper.l:Causes, "U<'chllnismsAnd COlIseqUP11CeS, (19i·Hf!.P2S9.

International Emydopaedza

if

the Social Sciences Vol. 13- !-l:Kew York: The Macmillan Co. and Tree Press. lW,2) :307.

C.1\l.Smirh,A Treatl5eon theLmL'

if

,'lasterand Sen'aut 6th ed. ~London:Sweet anJ\'1axwell,190G;Ixxxiii.

FOREIGN WORKERS - The Law And Practice In Malaysia

FOREIGN WORKERS

The Law And Practice In Malaysia

CLJ Publication

if

CONTENTS

131

n3

tJ

• MIGRATION OF FOREIGN LABOURERS INTO MALAYSIA *

3.1 INTRODUCTION

In the preceding chapter, it has been noted that the contract of employment is a personal or special comract that should be regulated not only by the contractual intention of the parties, but also by the principle

of fairness. The influx of migrant workers into the lVlalay Peninsula during the British administration of the Straits Settlements and the

States forms the basis of this chapter. Reference is made to the introduction of the labour legi:;1ation

accord protection of these workers against exploitation and abuse by the employers. It is note,vorthy that the inflo,v of international migrants into the

Peninsula is not a recent phenomenon. It started during the British colonial rule ,vhen the capitalist economic enterprises ,vere introduced together with necessary infrastructures.

Apart from the above, it is also worthwhile to brietly note the abolishment of serfdom and sla,-ery in England. The above discussion is relevant in so far as the treatment of migrant ,vorkers during the British administration of the Straits Settlemems and the Malay States is concerned.

In classical Roman la,\; slavery was defined as an institution 'whereby someone is subject to the power of another contrary

namre.'1 Slaycry was one of the principal exports of England, during the i\nglo-Saxon period.

These sla,-cs who were regarded as humans capable of being

•

if

if