Debt, delay, and death: the price Bangladeshi migrants pay to work in Malaysia

Migrant workers make up about one in five jobs in Malaysia, according to the US State Department. They work in shops, factories, plantations, and construction, helping produce major shares of the world’s palm oil and rubber gloves, and over $100 billion in electronics and semi-conductors annually. But despite being vital to Malaysia’s economy, many migrant workers face poor treatment and fear speaking out due to job loss and debt obligations. Bangladeshi workers, however, carry some of the heaviest debt burdens.

Over the past decade, more than 800,000 Bangladeshi workers have migrated to Malaysia. Many borrow large sums to pay recruitment fees for jobs that often fail to materialize. Investigators, labor analysts, and former government officials describe a recruitment system shaped by entrenched corruption, where excessive fees push workers into debt bondage and create conditions linked to forced labor and human trafficking.

“clearly a victim of human trafficking,”

Workers typically pay thousands of dollars before leaving Bangladesh, far more than migrants from other countries. Fees accrue at every stage—from local agents and medical checks to airfare and unofficial payments—leaving workers financially trapped before they arrive. If promised jobs fall through, workers find themselves in precarious situations. Unable to seek help without risking detention or deportation, many migrants are left waiting indefinitely or forced into undocumented work.

One such case involved Shofiqul Islam, a Bangladeshi farmworker who borrowed approximately $4,400 to secure a construction job in Malaysia. An amount that would be comparable to an American spending $140,000 for a job. After arriving, he never received employment. He remained in employer-arranged housing for months while his visa expired and interest on his debt increased. In February 2024, Shofiqul died while still waiting for work. Former Malaysian Anti-Corruption Commission chief Latheefa Koya described him as “clearly a victim of human trafficking,” citing systemic failures embedded in the recruitment process.

Aminul Islam’s ties to Malaysia’s labor system

Aminul Islam, known as Amin, has built significant influence over Malaysia’s recruitment of Bangladeshi workers, positioning himself as a powerful figure in the country’s labor migration system. Over the past ten years, companies founded by Amin have generated more than $100 million in profits, according to filings reviewed by Bloomberg.

Amin founded Bestinet in 2008, a digital platform designed to manage Malaysia’s migrant recruitment process. He promoted the system as a way to reduce corruption and improve efficiency. In 2015, Malaysia adopted Bestinet as part of a recruitment overhaul. Under the new model, recruitment orders were restricted to a small group of Bangladeshi agencies, effectively ending open competition. Former Bangladeshi officials said Malaysia insisted on the arrangement, warning that it would recruit workers from elsewhere if Bangladesh did not comply. Critics later described the system as cartel-like, concentrating power and driving up costs for workers.

Some agents allege that workers were also required to pay a “syndicate fee”—an extra charge imposed after recruitment was centralized. This pushes total costs to as much as $6,600 per worker. A 2024 memo prepared for Malaysia’s prime minister found these costs were more than double what Bangladeshi workers paid before Bestinet’s involvement, and significantly higher than fees paid by migrants from neighboring countries.

Amin has said he has never heard of syndicate fees and denied knowledge of any unlawful charges. Several recruitment agencies also denied wrongdoing. In an interview with Bloomberg News, he dismissed criticism from recruitment agents and labor advocates, saying:

People talk this way because they think they’re losing money because of us. We are the threat of the industry.

He has repeatedly stated that he never interacted directly with workers and therefore could not have collected unlawful fees. However, Bangladeshi authorities arrested dozens of agents in 2024 as part of an investigation into alleged money laundering, extortion, and trafficking. They requested the extradition of key figures connected to the system, arguing that the recruitment structure “fraudulently extorted money” from workers and caused them “physical and mental torture.”

Political ties and no accountability

Multiple former officials and people familiar with Malaysia’s recruitment system say Amin cultivated close relationships with senior political figures, placing former government officials on company boards and aligning himself with powerful decision-makers. When Malaysia adopted Bestinet, the home affairs minister at the time, Ahmad Zahid Hamidi, oversaw immigration and recruitment policy.

Although Malaysia’s cabinet later discussed ending Bestinet’s role and an anti-corruption probe reportedly began, the investigation was dropped. In early 2024, Malaysian Prime Minister Anwar Ibrahim unexpectedly extended Bestinet’s contract. Amin said the decision was “based on merit” and denied exerting political influence.

Labor advocates argue the structure itself incentivizes abuse. Recruitment debts prevent workers from leaving jobs or reporting exploitation, locking them into dangerous dependency. Former lawmaker Charles Santiago said the system benefits elites and middlemen while leaving workers with no protection. Labor activist Andy Hall has also said:

The path from Bangladesh to Malaysia is one of the most exploitative labor routes in Asia … Bangladeshis work all over Malaysia’s economy. If you’re a global company buying from there, there’s no chance your supply chain is clean.

Shofiqul Islam died without ever receiving the wages recruiters promised him. His recruitment debt, however, remained. Recruiters shifted the financial burden onto his family, leaving his widow to repay the loans used to finance his migration and underscoring how these systems transfer risk entirely onto workers and their families. Sign the petition calling on the governments and private companies to end exploitative practices that fuel human trafficking and forced labor.