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Taiwan, Philippines agree on direct hiring of workers

Asian Economic News, Jan 15, 2001

TAIPEI, Jan. 12 Kyodo

Taiwan and the Philippines agreed Friday to allow Taiwan employers to directly hire Philippine workers in a bid to cut out exorbitant broker fees and speed up the employment process, government officials said.

A memorandum of understanding was signed earlier in the day between Manila's top representative in Taiwan, Rodolfo Reyes, and Taiwan's top envoy to the Philippines, Benjamin Lo.

Currently only workers from Vietnam, which started to export labor to Taiwan less than two years ago, can be hired without the involvement of manpower brokers.

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The new hiring system will allow Philippine workers seeking legal employment in Taiwan to save between NT$50,000 and NT$100,000 (about $1,500-3,000) in broker's fees, government officials said.

Pressure groups for foreign laborers have long criticized the fees as exorbitant.

Officials with the Council of Labor Affairs, however, said the island's small- and medium-sized enterprises, for want of experienced staff and English-language skills, were still likely to enlist the help of manpower agencies in hiring foreign workers.

Taiwan started to invite foreign laborers in 1989 and now allows laborers from Indonesia, Malaysia, the Philippines, Thailand and Vietnam.

Thai nationals and Filipinos account for the lion's share of Taiwan's about 320,000 foreign workers, who are mainly employed in factories and at construction sites, as well as domestic helpers and care givers for ailing elderly.

Taiwan, Philippines agree on direct hiring of workers

Asian Economic News, Jan 15, 2001

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