Reducing bond guarantee to RM50,000 a relief: Agents
Published on: Saturday, July 04, 2020
By: Christy Chok
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Foreign workers (Bernama pic for illustration purpose only)
TAWAU: The Penaja Persatuan Agensi Pekerjaan Swasta Bumiputra Sabah (PAPSBS) welcomed the Federal and State Government’s move to reduce the Bank Guarantee Bond Deposit (License C) for foreign workers in Sabah from RM250,000 to RM50,000. 

PAPSBS consists of more than 90 foreign worker recruitment and employment agencies with about 2,160 staff and dependants in Sabah.

Its President, M Joharie Maggang, who is also the Managing-Director of Agensi Pekerjaan JBM Sdn Bhd cum Director of Agensi Pekerjaan PAPPAS Sdn Bhd Tawau Branch, nevertheless, hoped the Government could restudy and consider to reduce the Bank Guarantee Bond Deposit (JTK License C) for foreign workers in Sabah even lower between RM20k-RM50k at the discretion of the Home Affairs Ministry.

He said since the enforcement of Section 27A of Act 246 Private Employment Agencies Act 1981 in February 2018 by the previous Barisan Nasional (BN) government, all foreign worker recruitment and employment agencies in East Malaysia were having difficulties and stress at having to mandatorily deposit a bank guarantee bond of RM250,000, which was a sharp rise for every renewal application and new application of JTK License C in Sabah.

“It is harmful and almost paralyses the entire agencies of foreign worker recruitment and employment in Sabah, especially those owned by Bumiputra merchants who have been in the business for many years will be eliminated from this service industry,” he said.

Meanwhile, Joharie said he has obtained letters of support from many community leaders in Sabah on the distress and difficulties faced by the employment and foreign labour recruitment agencies in Sabah to be submitted together with their memorandum to the Prime Minister and Chief Minister. 


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