Wed, 27 Sep 1995

State firm to handle workers for Malaysia

JAKARTA (JP): The government has appointed state-owned PT Bina Jasa Adikarya (Bijak) as the sole company allowed to send Indonesian workers to Malaysia, a move designed to instill order in the lucrative yet chaotic business of exporting workers.

Under the regulation, any licensed manpower supplier company is permitted to recruit workers bound for Malaysia, but it has to arrange their departure and arrange contracts with Malaysian employers through PT Bijak.

The rule does not apply for domestic helpers, which are still in great demand in Malaysia. All labor export companies are free to directly export domestic helpers to Malaysia.

The Association of Labor Export Companies has given a cautious welcome to the ruling, stressing that the state monopoly "should play fair".

"PT Bijak should not take all the orders given to Indonesia by Malaysia," the association's deputy chairman, Anthon Sihombing, said on Monday. "It has to share the orders with other companies."

The appointment of PT Bijak as the sole agency to supply workers to Malaysia follows an agreement struck by the two governments to control the flow of Indonesian workers into Malaysia.

The presence of hundreds of thousands of illegal Indonesian workers has created problems on both sides of the border. Given their illegal status, many workers are subject to severe exploitation by their employers.

"Under the bilateral agreement, the two countries can discuss labor protection, skills and the wage system for the Indonesian workers in Malaysia," Anthon said.

On the Malaysian side, Kuala Lumpur has appointed a government task force to handle Indonesian workers sent by PT Bijak and place them at various employment agencies. These agencies will send the workers to work in the manufacturing, plantation or construction sectors.

Anthon said the move is expected to eliminate the operation of unauthorized labor agencies that have been sending workers from Indonesia to Malaysia through illegal channels.

Over one million Indonesians are currently working in Malaysia to take advantage of its rapidly booming economy. About half of them are working illegally. (rms)