CNI News
26 October 2023
As Myanmar overseas employment agencies have to pay license insurance fee to the government, they might ask workers more service charge, those who are helping migrant workers told CNI News.
The Ministry of Labor is negotiating with agencies to raise license insurance until three times higher than the current rate. If the license was raised like that, agencies probably would ask workers more service charge, they pointed out.
" Some agencies break the law without complying with provisions and ethics. So, workers got into trouble. These agencies should be taken action against. Otherwise raising license fee doesn't make any difference. Relevant laws have been imposed. There are places where you can complain. But this mechanism doesn't work in practice. As there are many workers who want to go abroad for work, although service charge for a worker has been designated 500,000 kyats by the government, if agencies asked 1,000,000 kyats, there are many workers who will pay. If you asked the workers why they complained, they wouldn't answer. It is important for them to go abroad ASAP in any way. If he didn't pay 20 lakh kyats, those who would pay 21 lakh kyats were so many behind him, one of workers told me." said U Min Oo, in charge of labor affairs from the Foundation for Education and Development (FED).
The government is carrying out to raise license insurance fee for overseas employment agencies from 250 lakh kyats to 1,000 lakh kyats and for overseas employment agencies (Thailand) from 50 lakh kyats to 200 lakh kyats. The government has officially designated service charge rates that agencies will ask.
Those who will go abroad through agencies
If a person goes to Japan as a technical apprentice trainee, it will cost him 2,800 US dollars and as a skilled worker, 1,500 US dollars.
After working in Japan for three years, if a person goes to Japan again to work for a new employer, it will cost him 1,600 US dollars and if he goes there again to work for the former employer, it will cost him 200 US dollars.
If you go to Singapore for high levy, it will cost you 1,800 SGD and for low levy, 2,300 SGD. If you go to Singapore with a S-Pass, it will cost you 4,400 SGD. And if you go to Malaysia, it will cost you 850 US dollars and 25,500 kyats. Moreover, if you go to Thailand for the job that applies Thai SSB, it will cost you 300,000 Myanmar kyats and 7,600 Thai bahts.
Although service charge has been officially designated, in practice it will cost you more than the prices designated. The government is weak in tackling the problem and if the license insurance fees were not changed, it would be convenient, U Ba Yi, in charge of labor affairs from the Migrant Workers Rights Network (MWRN) told CNI News.
" If possible, former license insurance fee is convenient, I think. If the agencies have to pay the government any more, they will surely ask the workers any more. Although the government has designated that agencies must not ask more than 300,000 kyats for service charge, agencies are taking from 25 lakh kyats to 45 lakh kyats. Zero cost workers are convenient. Their employers take responsibility for the cost for them. If possible, unchanged rate of license insurance fee will be convenient for both agencies and MoU workers, I think." He said.
Currently, the Ministry of Labor and Myanmar Overseas Employment Agencies Federation (MOEAF) are negotiating relating to raising license insurance fee reportedly.
