The Parliament has passed an amendment to the Employment Act that grants relevant ministries the authority to review work permits and associated fees for immigrants every 18 months. The amendment, proposed by Parliamentarian represnting the constituency of North Kulhudhuffushi, Mohamed Dawoodh (PNC), was approved with 65 members voting in favour and 10 opposing, following a detailed analysis by the Parliament’s Committee on National Security.
Under the current Employment Act, employers are required to pay a quota fee of USD129.7 to an administrative office designated by the relevant ministry, alongside a monthly work permit fee of USD22.7. The newly approved amendment introduces significant changes, allowing ministries to reassess these fees regularly, ensuring they reflect the current economic and labour conditions.
The amendment stipulates that any increase in fees resulting from these reviews must not exceed 30% of the existing amounts. This provision aims to prevent sudden and steep increases in the cost of employing foreign workers, which could impact businesses and the broader economy. However, the amendment also establishes a special procedure that must be followed if a reduction in fees is considered necessary, adding a layer of oversight to the process.
Beyond its immediate financial implications, the amendment is expected to play a significant role in addressing the issue of illegal immigration in the Maldives. By enabling more frequent reviews of work permits, the government can better monitor and regulate the flow of immigrant workers, ensuring that all individuals employed in the country hold valid permits and adhere to legal requirements. This regular scrutiny is anticipated to deter employers from hiring undocumented workers, as the increased oversight reduces opportunities for illegal employment practices to go unnoticed.
The Maldives has long faced challenges related to illegal immigration, with concerns over undocumented workers contributing to issues in the labour market, including wage suppression and exploitation. The new amendment could help mitigate these problems by tightening control over work permits and making it more difficult for illegal immigrants to remain in the country without proper documentation.
Furthermore, the periodic review of fees could also serve as a deterrent against the practice of obtaining work permits through fraudulent means. As ministries will now have the power to reassess and adjust fees, the government can respond more effectively to any emerging trends or loopholes being exploited by those seeking to bypass the legal system.
The passing of this amendment marks a significant shift in the regulation of immigrant labour in the Maldives, as it seeks to balance the need for regular adjustments to fees with protections against excessive increases. By empowering ministries to review work permits and fees every 18 months, the government can ensure that the policies governing immigrant labour remain responsive to changing economic conditions while safeguarding the interests of both employers and workers. Moreover, this move is a step towards strengthening the Maldives’ efforts to combat illegal immigration and maintain a more regulated and fair labour market.