Expatriates' pay nears $200 million<\/p>\n
JAKARTA (JP): Nearly US$200 million is being paid out each
\nmonth to more than 57,100 expatriates working in Indonesia, with
\nfigures expected to continue rising in the near future, Minister
\nof Manpower Abdul Latief said yesterday.<\/p>\n
In 1995, the government issued 57,159 official work permits to
\nforeigners. This number represents a 38 percent increase over the
\nprevious year's total of 41,422, Latief said.<\/p>\n
The minister said that based on their tax returns, 13,624
\nexpatriate managers each receive salaries of $6,250 a month;
\n11,874 professionals are paid $5,000; 8,254 supervisors get
\n$2,150 and 23,407 have a monthly salary of $1,600.<\/p>\n
Their monthly total wage bill comes to $199,717,300, or an
\nannual sum of nearly $2.4 billion, he said.<\/p>\n
Latief admitted he was surprised when he learnt of the large
\nnumber of expatriate workers here.<\/p>\n
"The rise in the number of Koreans is amazing. Maybe it's
\nbecause their investments here are growing," he said after
\nmeeting with President Soeharto.<\/p>\n
Permits issued to Koreans made up 11,668 or 20.4 percent of
\nthe 1995 figure, doubling their 1994 total of 5,539 permits. The
\nsecond biggest contingent of workers here is the Japanese with
\n9,442, followed by the Taiwanese with 5,694, the Indians with
\n4,121, the Americans with 3,537 and the Australians with 3,049.<\/p>\n
Latief said the high number of expatriate workers is due in
\npart to the lack of proficient Indonesians capable of filling
\ncertain positions.<\/p>\n
He conceded the weaknesses of the national education system
\nalong with other vocational training programs required to
\nstrengthen workers' skills.<\/p>\n
Audit<\/p>\n
The government is about to embark on a national audit of
\nprofessional workers in Indonesia and determine the precise
\nnumber of working professionals required in the future and also
\nhelp design the kind of education required to fill the demand.<\/p>\n
Of the seven institutions authorized to issue work permits,
\nthe Investment Coordinating Board (BKPM) in the past two years
\nhas issued most of them. Last year, 66.8 percent of the permits
\nwere issued by the board. The other major issuer is the Ministry
\nof Manpower.<\/p>\n
According to Latief this is due to the nature of BKPM's very
\nown job description. "We asked them to pay special attention to
\nthe permit process," he said.<\/p>\n
While Indonesia forks out close to $2.4 billion to
\nexpatriates, the government's income through the more than one
\nmillion Indonesian workers abroad pales in comparison. In fact by
\nthe end of this century, the government still only expects to
\nreceive half the amount being paid out to expatriates here.<\/p>\n
"It will become a new commodity which will be big in the year
\n2000. We are targeting at least $10 billion (a year)," Latief
\nsaid of the future of Indonesian laborers abroad.<\/p>\n
Last year the government expected to receive $100 million from
\nsending laborers abroad. Most Indonesians work in Saudi Arabia
\nand Malaysia.<\/p>\n
Latief noted that as the number of skilled laborers being sent
\nabroad increases, then the money received will rise accordingly.<\/p>\n
Unemployment<\/p>\n
He sets 1998 as a target after which all Indonesians sent
\nabroad will be skilled laborers. The minister estimates that 42
\npercent of those being sent now are skilled.<\/p>\n
Speaking on the number of Indonesians unemployed, Latief said
\nthat "it is rather high."<\/p>\n
The number of "open unemployed" (those working less than one
\nhour a week) rose from 3,654,416 in 1994 to 4,443,730 in 1995.<\/p>\n
If added to this is the number of "critically unemployed",
\nthose working less than 15-hours a week, the total swelled from
\n11.1 million in 1994 to more than 14 million last year.<\/p>\n
Latief expressed alarm particularly because 52.2 percent or
\n7.33 million of those unemployed last year were between the ages
\nof 15 and 25.<\/p>\n
"These are youngsters who we have to encourage to work
\nproductively ... The government will foster small and medium
\nscale enterprises to deal with this unemployment," he said.<\/p>\n
He added that the causes were a combination of both population
\ngrowth, the large number of those entering the workforce, and the
\ninsufficient number of new jobs.<\/p>\n
Latief said he also discussed the recent minimum wage
\nincreases with the President, saying that generally the media had
\nresponded positively to this move.<\/p>\n
Nevertheless he said there are labor activists who continue to
\nview cynically the government's move and pointed to Mochtar
\nPakpahan, Teten Masduki, Munir and Abdul Hakim Garuda Nusantara
\nas the naysayers.<\/p>\n
"They'll remain that way until doomsday. Everything that the
\ngovernment does is considered bad in their eyes...But that's
\nall right, this is a democracy isn't it?" Latief quipped.<\/p>\n
Latief also reminded employers that as Moslems enter the
\nfasting month, Idul Fitri bonuses must be given out.<\/p>\n
"Let's not wait until a strike occurs," he remarked.(mds)<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/expatriates-pay-nears-200-million-1447893297", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }