Singapore, No Longer Preferred Destination of Domestic Helpers
Oct 18, 2011
According to a news article that appeared in The Jakarta Post, Singapore is no longer included in the preferred work destinations of the new generation of domestic helpers from the Philippines and Indonesia. Apparently, the younger batch of domestic helpers now choose to work in Hong Kong and Taiwan where they can enjoy higher salary because of lower tax.
As the younger batch Filipino and Indonesian domestic helpers, including women from the rural areas is better educated and has a higher expectation of life; Singapore which is among the world’s biggest employers of domestic helpers may soon find fewer and more expensive supply of foreign maids.
According to the article, globalization and cheap airfares made it easier for people in the Philippines and Indonesia to find better jobs both locally and in the global market.
The domestic helpers of today are very different from the domestic helpers of the 70’s and 80’s era. Many of the better educated maids now opt to work as salesgirls, hairdressers, office assistants, etc while others acquire trainings to apply to higher-paying jobs in the healthcare, computers and tourism industry.
Another reason why the supply of foreign domestic helpers in Singapore is dwindling is the SGD345 monthly levy that Singaporean employers need to pay for hiring a maid.
For this reason, foreign maids in Singapore takes home only half of what she gets elsewhere. In effect, a domestic helper working in Hong Kong and Taiwan has a much higher take-home pay because the tax is minimal.
As both the Philippines and Indonesian governments have demanded a higher minimum salary for their domestic helpers, hiring a maid from South East Asia is now harder and costlier.
As globalization continues to move at a fast pace, it is likely that the history of hiring domestic helpers from South East Asia may soon come to an end.