Govt mulling Anti-Ali Baba law to curb influx of illegal foreign workers

PETALING JAYA: An “Anti-Ali Baba” law is currently being considered to take action against Malaysians who illegally rent out licenses to foreign workers without meeting certain conditions, says Rafizi Ramli.

The Economy Minister said the proposed “Anti-Ali Baba” law would be among the measures the Economy Ministry was taking to prevent foreign workers from illegally operating businesses in the country.

“The Anti-Ali Baba legislation will allow action to be taken against Malaysians who give ‘Ali Baba licenses’ to foreign workers without meeting the conditions,” he posted on X on Monday (Dec 25).

He was responding to a user who asked what laws are currently being drafted to control the massive influx of foreigners benefiting from the government’s subsidies.

Rafizi said that the influx of foreigners “conquering” a certain area resulted from the actions taken decades ago.

“This is a national issue, not an issue of foreign workers.

“It started with our dependence on foreign workers. Ask the employers, the employers will say that locals do not want to do such jobs within certain sectors.

“When there are many foreign workers, our own people (locals) will rent and give licenses illegally for them to conduct their business,” Rafizi explained.

“Salary payment is also one of the reasons, but with the minimum wage in place now, the remuneration package is more competitive than before,” he said.

He added that the “Anti-Ali Baba” law would synergise with the ongoing labour market reforms and finalisation processes for the upcoming Malaysia Plan (MP).

“Among the measures taken in reforming the labour market are progressive wages, Academy in Industry programmes, and finalising the phasing down of foreign workers through multi-tiered levies.

“The Economy Ministry, which structures the MP, will finalise its goal of reducing foreign workers through phases by 2030 in the 13th Malaysia Plan,” he said.

“All of this needs to be balanced so that there is no drastic impact on industries that rely heavily on foreign workers.

“As I have mentioned in my message to employers and the industry, it is coming because we cannot afford to continue like this,” noted Rafizi.

On Dec 21, More than 1,000 enforcement personnel conducted a massive screening operation on Jalan Silang here, a known gathering point for foreigners in the city.

The police, primarily General Operations Force (GOF) personnel, and other agencies raided four blocks of shops on Thursday (Dec 21) and cordoned off the area as they rounded up offenders.

The sudden and thorough sweep caught most people in the area by surprise.

The operation was staged to curb illegal activities and screen businesses owned by or employing foreigners to ensure their operations were legitimate.