Bekasi loses Rp 12b in revenue

BEKASI: Head of the Bekasi manpower agency Yoyok Soetoyo revealed on Monday that the ministerial decree stripping his office of the power to issue work permits to foreigners was projected to reduce local revenue by Rp 12 billion (about US$1.3 million) next year.

"We earned Rp 2 billion during the last five months, less than half of the Rp 5 billion we collected during the same period last year," he was quoted by Tempo News Room as saying.

Decree No. 20/2004 signed by Minister of Manpower and Transmigration Jacob Nuwa Wea gives the provincial administration the power to issue permits to foreigners and to foreign workers that cross into the regency's territory.

Each worker is charged US$100 per month for a permit, a cost that is often picked up by their employers.

"Bekasi administration had set a target of Rp 15.3 billion in revenue this year, expecting income from the work permits of 1,600 foreign workers working here," he added.

Many other local administrations considered the policy decree was against the spirit of regional autonomy and decided to file for judicial review to fight the decree. -- JP