Chia SiowYue

Singapore Institute of International Affairs

 

Skilled labor mobility is essential for effective implementation of services liberalization and FDI liberalization as well as a goal in itself for deeper economic integration in the AEC. Currently Singapore is the main recipient, while the Philippines and Malaysia are the main suppliers. However, as ASEAN countries move up the technology ladder, demand for skills will increase. Foreign talent is needed to augment the domestic pool, as well as to create the competitive synergy for domestic talents. Strategic actions on the free flow of skilled labor outlined in the AEC Blueprint include --- facilitate the issuance of visas and employment passes; mutual recognition arrangements (MRAs) for major professional services; core concordance of services skills and qualifications; and enhance cooperation among ASEAN universities to increase regional mobility for students and staff.

 

The MRA is a major instrument for skilled labor mobility in ASEAN. However, recognition of each other’s qualifications and experience does not ensure market access. Policies and regulatory frameworks that constrain and impede skilled labor mobility include--- requirements and procedures for employment visas and employment passes; constitutional provisions reserving jobs for nationals; policies that close or impose numerical caps on foreign professionals and skills in sectors and occupations; economic and labor market tests that constrain employment of foreigners and requiring to have them replaced by locals within a stipulated period; licensing regulations of professional associations; and language proficiency requirements. Countries should cooperate to minimize the impediments. More information exchange and transparency and simplifying visa and employment pass applications would help.

 

1 The author gratefully acknowledges the questionnaire responses and information on their respective countries supplied by the ERIAnetwork of research institutions from Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam.

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Comprehension questions

Questions		Click Answer Key
1. For what is skilled labor mobility important?		For effective implementation of services liberalization and FDI liberalization as well as a goal in itself for deeper economic integration in the AEC Currently, Singapore is the main recipient, while the Philippines and Malaysia are the mainsuppliers. Foreign talent is needed to augment the domestic pool, as well as to create competitive synergy for domestic talents. Facilitate the issuance of visas and employment passes; Mutual recognition arrangements (MRAs) for major professional services; core concordance of services skills and qualifications; and enhance cooperation among ASEAN universities to increase regional mobility for students and staff No The requirements and procedures for employment visas and employment passes; Constitutional provisions Reserving jobs for nationals; policies that close or impose numerical caps on foreign professionals and skills in sectors and occupations; economic and labor market tests that constrain employment of foreigners and requiring to have them replaced by locals within a stipulated period; licensing regulations of professional associations; and language proficiency requirements They should cooperate to minimize the impediment.
2. What is the situation now?
3. Why is foreign talent needed?
4. What are the strategic actions on the free flow of skilled labour outlined in the AEC Blueprint?
5. In the author’s opinion, can recognition of each other’s qualifications and experience ensure market access?
6. What are the policies and regulatory frameworks that constrain and impede skilled labour mobility?
7. What should countries in ASEAN do, according to the author?

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