Indonesian Political, Business & Finance News

Govt introduces workers export quota

| Source: JP

Govt introduces workers export quota

JAKARTA (JP): The government effective Jan. 1 will enforce a
quota system on the number of persons a manpower supplier company
can send as part of its scheme to phase out the sending of
unskilled workers.

Minister of Manpower Abdul Latief told reporters that the
ministerial decree regulating the quota has already been signed
and approved by President Soeharto.

He said under the quota system, at least export 20 percent of
the total workers sent abroad must be skilled workers.

This means that if a company pledges to send 100 skilled
workers in 1995, it could send 400 unskilled workers.

In 1996, the proportion of skilled workers will be raised to
40 percent. "Eventually, only skilled workers are allowed to seek
jobs overseas," he said yesterday after briefing President
Soeharto about his action.

The decree sets the minimum monthly salary for each skilled
worker at US$400, he said.

He called on manpower suppliers to cooperate with vocational
training centers both at home and abroad to improve their
recruits' skills.

Indonesia, with population of 190 million people, is a major
manpower supplier to Malaysia and Middle East countries. The
government has been under pressure to stop sending unskilled
laborers abroad to shed its derogatory image as a "maid
exporter".

Latief said that the government had taken action against
delinquent manpower suppliers widely believed to have been
responsible for many of labor export problems.

Of the 300 registered manpower supply companies, only about
130 currently operates, he said. "The rest have failed to re-
register and many turned out to be non-existent," he added.

Of those 130 still operating, only 92 can meet the
government's requirements, he said. The remaining will be given a
grace period and will be dropped from the list if they fail to
meet the requirements, he added. (pan)

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