KUALA LUMPUR - The cost structure to hire Indonesian workers will be reviewed every three months by the Malaysia-Indonesia Joint Working Group (JWG).
Human Resources Minister Datuk Seri M. Saravanan said this is to ensure the cost structure looks into the current needs including transportation fares, and cost of health test.
He said the recruitment cost structure agreed through the memorandum of understanding (MoU) on the Recruitment and Protection of Indonesian Domestic Maids covered 15 cost components in Malaysia and Indonesia.
It covers Immigration security deposit, insurance, health check, levy, and work permit.
"Examples of cost components in Indonesia include passport, work visa, health certificates, competency certificate, and psychological test. All workers recruitment costs are under the responsibility of the employers in accordance with the Fair Recruitment Initiative guidelines issued by the International Labour Organisation (ILO),” he said.
Saravanan said the MoU signed on April 1 in Jakarta, Indonesia, was an improvement of the previous MoU where the previous cost structure only outlined the components involved without setting the price rate.
"Various problems were due to implementation of the previous MoU which had a fixed cost structure and it was too low compared to the current market, causing employers to have to pay more to get workers," he said.
Saravanan added through the MoU, employers were expected to save RM2,000 to RM3,000 on recruitment costs as there was no longer a quarantine requirement except for those who tested positive during the Covid-19 screening test conducted in the country. - Bernama