Fri, 29 Jul 1994

RI looks for new export markets for its workers

JAKARTA (JP): Indonesia is hopeful it can expand its markets beyond the traditional Middle East and Asian countries to export its workers to, a government official says.

Suramsihono, president of the newly incorporated PT Binajasa Abadikarya, told reporters yesterday that his company plans to explore the potentials of even more distant markets.

"We will extend our market to advanced countries and other developing countries in Asia, Africa and Latin America," Suramsihono said in announcing the launching of the operation of the company, known in short as PT Bijak, beginning on Aug. 1.

The company was established by Minister of Manpower Abdul Latief to bring to order the business of sending Indonesian workers overseas, a lucrative business but a highly disordered one.

One of the first priorities is to conduct a survey on potential markets abroad, Suramsihono said. We want to know first which countries are our potential markets and what kind of skills are they looking for."

The company will also take the lead in the government's drive to phase out the sending of unskilled workers and replace them with people who have skills needed in the countries of destination, he said.

PT Bijak is incorporated as a subsidiary of PT Astek, the workers insurance company which is also administered by the Ministry of Manpower.

Another task of the company is to professionalize the manpower supplier companies, which have been the target of criticisms and accused of leaving Indonesian workers stranded abroad and causing misery.

Suramsihono said his company has fulfilled all administrative, financial and organizational requirements needed to start its operation as of Aug. 1.

Rp 12.5 billion

With an initial capital of Rp 12.5 billion ($5.9 million), the company plans to introduce vocational training schemes for Indonesian workers and also provide facilities to train instructors for private manpower supplier companies.

Bijak has been authorized to utilize not only training centers that are the jurisdiction of the Ministry of Manpower but also those managed by the ministries of education and culture, industry, and trade.

Coinciding with the launching of Bijak's operation, a government ruling also comes into effect on Aug. 1 that compels all manpower supplier companies to have a minimum paid up capital of Rp 375 million each. Every company must also deposit Rp 75 million with a state bank as a bond to be used to bail out workers who are stranded abroad.

So far, out of an original 300 manpower supplier firms registered with the government, only 70 have complied with the new regulation.

Suramsihono believes that the government's target of sending 1.25 million workers in the next five years is feasible.

This works out to 250,000 a year, and given 100 manpower supplier firms, each is expected to send around 200 workers a month, he said. (rms)