Malaysia's labor policy benefits TKIs: Minister

The Jakarta Post Jakarta

Malaysia's new labor policy and strict immigration laws may cause short-term problems for Indonesian migrant workers (TKIs), but in the long run they will benefit, Coordinating Minister for People's Welfare Yusuf Kalla said.

Kalla, who was appointed by President Megawati Soekarnoputri to set up a task force to deal with returning workers, said Malaysia's deportation of illegal immigrants was not a serious problem.

"The implementation of Malaysia's policy on illegal workers and its strict immigration laws will benefit Indonesians employed in that country because, with the new policy, they will no longer be overexploited and underpaid," he said here on Tuesday.

He said "both sides could no longer close their eyes to the reality that the illegal immigrants, mostly from Indonesia, were underpaid and overexploited. With the new policy, Indonesians employed in that country will be paid in accordance with the standard salaries".

"But those sent to that country will have the necessary documents, such as work visas, passports and labor contracts," he said, adding that the Malaysian government's policy should be seen as a positive step.

A number of Malaysian employers have been found to take advantage of illegal immigrants, forcing them to work longer hours than allowed under the law and paying them less than the minimum wage.

"We are reading (in the Malaysian media) that Malaysian authorities have started to raid Malaysian employers employing illegal workers," he said.

He said Indonesia would lobby Malaysia on forming a mutual cooperation and action plan to create a more conducive environment for investment and foreign workers in Malaysia.

"President Megawati is scheduled to discuss the labor issue with Malaysian Prime Minister Mahathir Mohamad during their two- day meeting in Bali on Thursday and Friday," he said.

Kalla admitted the deportation of migrant would cause short- term problem for the workers, who would have no jobs awaiting them on their arrival home.

"Let's just say they are having a two-month vacation at home while they apply for their work visas and passports and improve their skills to go back to Malaysia legally," he said.

The coordinating minister said the government had allocated Rp 30 billion to help settle the returning workers, and the authorities in the regions had been asked to step up security to prevent the workers from turning to crime during their stay at home.

Husein Alaydrus, the chairman of the Association of Indonesian Labor Exporters, said Malaysia preferred hiring Indonesian workers because of the similarities between the two nations.

"Indonesian workers are wanted in Malaysia because the two nations have a similar language, culture and religion. We are of the same culture," he said, adding that he was hopeful the two countries could settle the labor issue peacefully.

Malaysia is cutting down the number of Indonesian immigrants in Malaysia following two violent incidents involving Indonesian workers. The first involved workers in a detention camp in Johar Bahru last October, and the second workers at a textile factory near Kuala Lumpur in January.

The majority of the more than 400,000 Indonesian workers who have left Malaysia have already arrived in their hometowns, while the others are still making their way home.

Foreign news agencies reported on Tuesday that about 30,000 illegal Indonesian workers were believed to still be in Malaysia because their employers feared that their departure would affect their businesses.

Some 50,000 workers are in Nunukan, East Kalimantan, waiting for Navy ships to transport them to their hometowns in South Sulawesi, East Java and West and East Nusa Tenggara.

Harbiyah Solahuddin, a member of the East Java legislative council, said upon his arrival from Nunukan here on Tuesday that only a score of the 50,000 workers came from East Java.

"The workers are no longer upset about the Malaysian immigration law, and they are just waiting for sea transportation home," she said.

Some of the workers are paying their own way home by passenger ship.

AFP reported on Tuesday that Malaysian property developers may suffer losses of millions of dollars and thousands of hawkers and petty traders may have to close shop after the mass exodus of illegal foreign workers.

The news agency reported that according to property developer Eddy Chen, companies were bracing to pay compensation of up to five million ringgit (US$1.3 million) a day for the expected late delivery of projects.

It will take two to three months for the situation to normalize once new foreign workers are hired and trained, he said.

Chen said every month of work stoppage would cost developers another 150 million ringgit. "This is the price developers have to pay if they can't deliver their houses on time."