South Korea's Economic Slowdown Curbs Demand for Indonesian Migrant Workers

Deputy Minister for the Protection of Indonesian Migrant Workers (P2MI), Christina Aryani, stated that the economic slowdown in South Korea is limiting opportunities for the placement of Indonesian migrant workers (PMI). “The economic slowdown in South Korea is affecting the demand for Indonesian migrant workers to Gyeongnam,” she said in a press statement in Jakarta on Monday. During a meeting with Hwang Geuk Jae, Head of the Gyeongnam Provincial Government Representative Office in Jakarta, it was conveyed that the ongoing economic deceleration, sluggish industrial activity recovery, and tax rate increases have prevented a rise in demand for migrant workers. Furthermore, the Visa Metropolitan scheme, previously projected as a pathway for placing PMI in Gyeongnam’s shipbuilding sector, has yet to be implemented. The programme is currently under evaluation by the Republic of Korea’s Ministry of Justice, the authority responsible for issuing visas to foreign workers, and has been temporarily suspended during this review. “We understand this situation and will continue to monitor all developments,” Aryani added. She also introduced the ‘SMK Go Global’ programme, a directive initiative from President Prabowo Subianto aimed at enhancing the competence of Indonesians through training, certification, and overseas job placements, including in South Korea. “The important thing now is to maintain communication and prepare human resources through the SMK Go Global Programme. Once South Korea’s economic conditions recover and labour demand increases, Indonesia will be ready to supply competent, certified workers that meet industry needs,” she concluded.