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Employment Services-Placement Overseas

Placement Overseas from New Delhi is providing services in technical and non technical man power services from India to Abroad.     
With an abundant labour surplus, the government of Indonesia officially organizes placement of workers abroad. To a great extent this effort assists the workers and substantially increases their welfare. Differences in the level of economic development and differential in the level of wages and salaries make it possible to attract Indonesian workers to work abroad. However, since the qualifications of the workers are still low, the great majority (75%) of Indonesian workers can only access informal sector opportunities, especially domestic household duties, e.g. cleaning, cooking, child care, gardening or driving. Most of the remainder of the work is in agriculture, plantations, construction, and factories. Some work is in hotels and restaurants, while a small number are medical personnel.

The majority of those working overseas are "placed" by private employment agencies with contacts in the recipient countries. These companies are registered with, and are assisted by the government. In 2002, there were 480,393 people officially working abroad, of which around 70% were placed through the official program. The remaining 30 percent work abroad without proper documents; most crossed the border between Indonesia and Malaysia; a small number obtained their positions through other means. This 30 percent are not included, because they are outside the program. They worked abroad on an individual basis, or in groups illegally organized. By 2003, the number of Indonesians working overseas had decreased to 293, 865 due to SARS and restrictions upon Indonesian workers in Taiwan.

For this project the 2002 data has been used because the year 2003 is not a normal year for work placement abroad. Most of the workers go to the Asia Pacific region (238,324) and the Middle-East (241,961). The most important destination in the ASIA-Pacific Region is Malaysia with almost 153,000 in 2002. However the largest destination of all is Saudi Arabia with more than 214,000 people. Those in the Middle-East are mostly informal workers (230,619), while those in Asia-Pacific are almost equally split between formal (101,203) and informal (137,121). 

The workers went abroad under a contract of 2 years with salary of around 2.5 million rupiahs per month. Works in Asia Pacific in the informal sector received a slightly higher salary. Formal workers received higher salarys than informal workers. The informal workers received a salary per month of around 3 million RP. Most of the cost for placement are paid by the workers themselves on the average equivalent to 1 months salary. (Actually most of the cost are paid by the employers when they register to the company to recruit the workers).To assist the placement the government organized a training program and orientation at a cost of around 5000 RP per person. In addition around 400,000 RP is allocated to assist the return of workers before the expiration of their contracts.

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