15 companies get permits to supply workers abroad

15 companies get permits to supply workers abroad

JAKARTA (JP): Minister of Manpower Abdul Latief yesterday granted 15 more companies licenses to export workers, bringing the total of licensed firms to 29 since he compelled some 300 companies to re-register last year.

Although the pressure was mounting on the government to license more given the potential foreign exchange earnings from sending workers abroad, Latief yesterday said that he would remain cautious in issuing licenses.

The Ministry, he disclosed, has received 165 applications for new licenses, but most of them have been turned down because they failed to meet the government requirements.

Latief last year tightened the regulations governing the sending of workers overseas, a lucrative business but one that was beset by mismanagement resulting in thousands of workers being stranded overseas.

One requirement sets a company's level of minimum paid up capital higher and another compels companies to provide their own training facilities for the workers to be sent abroad.

Latief said the government will be very selective in issuing new licenses since this program deals with human beings. "Besides the minimum capital requirement and training facilities, these companies must apply modern management in their operation."

He added that the aim of these regulations is to protect the workers from being abused by the companies or by their employers overseas.

Latief yesterday had more bad news for those companies waiting for their licenses: That they can no longer send workers abroad while waiting for the issuance of the licenses. Up until now the companies hadn't suspended their services.

"Companies which are still sending workers abroad will jeopardize their license applications," he told reporters yesterday during the ceremony to hand over the 15 new licenses.

"We'll make no more allowances," he said referring to the fact that some 170 companies had been allowed to send workers while waiting for their licenses.

A senior ministry official said the government has already sent a circular to these companies ordering them to stop sending workers abroad until after they receive their new licenses.

The government earlier estimated that Indonesia needs at least 300 manpower supplier companies to be able to export some 1.25 million workers in the next five years. (rms)