CEO Morning Brief

Deadline for Foreign Worker Visa With Reference Application Extended to April 21 — Home Minister

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Publish date: Fri, 05 Apr 2024, 09:11 AM
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TheEdge CEO Morning Brief

KUALA LUMPUR (April 4): The government has extended the deadline for the application of visa with reference (VDR) to April 21, Home Minister Datuk Seri Saifuddin Nasution Ismail announced.

This decision came in response to a significant number of active quotas, totalling approximately 132,000, that remain unclaimed, alongside technical glitches affecting the Foreign Workers Centralised Management System (FWCMS) towards the application period's end.

"This extension provides genuine employers the opportunity to promptly obtain VDR approval letters," Saifuddin said in a statement on Thursday, adding that it's anticipated to benefit critical sectors like plantation.

Saifuddin urged employers to effectively utilise this extension, cautioning against last-minute system congestion experienced previously.

Noting historical trends where approved quota entries typically do not exceed 80% of the total, Saifuddin anticipates approximately 105,600 workers out of the 132,000 unclaimed quotas will be granted VDRs.

On March 8, the Home Ministry jointly announced decisions with the Human Resources Ministry to cancel active worker quotas without VDRs after March 31 and advance the last entry date for foreign workers to May 31. This decision aimed to enable accurate measurement of the country's foreign manpower needs before considering new quotas.

This decision has drawn criticism from business associations like the National Chamber of Commerce and Industry of Malaysia and the Federation of Malaysian Manufacturers (FMM) over concerns about government policy inconsistency impacting the local business community. FMM has also expressed its intention to appeal against the decision.

Nevertheless, Saifuddin reiterated on Thursday that the final entry period for foreign workers in the formal sector on May 31 remains unchanged, aligning with market urgency to avoid delayed benefits.

Discontinuation of agency service for Singapore and Hong Kong workers by May 31

Additionally, Saifuddin announced the government's decision to terminate the services of the Malaysian Visa Application Processing Agency (APPVM) for workers from Singapore and Hong Kong, effective May 31.

Similarly, service cessation for workers from China will take effect from Dec 31, 2024.

Saifuddin said the primary goal of this termination is to enhance the efficiency of hiring foreign workers by reducing bureaucratic layers for employers and relieving them of the costs associated with APPVM.

He said employers will now have the convenience of submitting applications directly through the Immigration Department's MyVisa portal, facilitated by IDs provided to manage the entire visa application process, resulting in a quicker turnaround time of three to four days.

Following the discontinuation of APPVM services for Bangladeshi workers, the Immigration Department successfully processed 23,859 visa applications up to April 3.

Source: TheEdge - 5 Apr 2024

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