KUALA LUMPUR – The cost structure of hiring Indonesian domestic workers will be reviewed every three months by the Malaysia-Indonesia Joint Working Group.
Human Resources Minister Datuk Seri M. Saravanan said in a statement here today that this will keep the cost structure in line with current needs, accounting for changes in transportation fares and costs of health tests.
He said the recruitment cost structure agreed through the memorandum of understanding on the recruitment and protection of Indonesian domestic maids covered 15 cost components in Malaysia and Indonesia.
“Examples of cost components in Malaysia include the immigration security deposit, insurance, health check, levy, and work permit.
“Examples of cost components in Indonesia include passports, work visas, health certificates, competency certificates, and psychological tests. All recruitment costs are under the responsibility of the employers in accordance with the Fair Recruitment Initiative guidelines issued by the International Labour Organisation,” he said.
Saravanan said the MoU signed on April 1 in Jakarta, Indonesia, improved on the previous MoU as the previous cost structure only outlined the components involved without setting the price rate.
“Various problems arose in the implementation of the previous MoU due to the fixed cost structure. It was too low compared with the current market, which caused employers to have to pay more for domestic services. This has been addressed in the new MoU,” he said.
Saravanan said through the MoU, employers were expected to save RM2,000 to RM3,000 on recruitment costs as there is no longer a quarantine requirement for PDIs, except for those who tested positive in Covid-19 screening tests conducted in the country. – Bernama, April 5, 2022
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