The change in policy for the security deposit payments for foreign workers and the new security deposit rates will commence on September 1, 2016, it was announced by the Labour Department, Ministry of Home Affairs in a briefing held during a roadshow recently.

Dayang Asiah binti Ibrahim, Finance Officer at the Labour Department, said the changes focus on two aspects - the use of Insurance/ Takaful Guarantee for Foreign Workers (Jaminan Insurans/ Takaful Pekerja Asing or JITPA) as an addition to the current methods of payment offered as well as lower and affordable rates for the security deposit.

The new security deposit payments for security deposits via bank guarantee, particularly for work pass BUR500 and Special Approval, will begin from September 1, 2016. On the same day, the new rates for security deposits will also be applied for domestic helper services.

The labour security deposit rates for foreign workers from Malaysia, Indonesia, Philippines, Thailand and Singapore will be reduced from $600 to $500 and those from Myanmar, Laos, Cambodia and Vietnam the rate will be reduced from $900 to $700.

For those from India, Bangladesh, Pakistan, China, Sri Lanka, Japan, Nepal and Taiwan, the new rate will be $1,600 from the previous $1800 and those from Australia and New Zealand it will be $2,000, a $600 reduction from the previous rate $2,600.

There is no rate reduction for security deposits for foreign workers coming from Mauritius, Seychelles, and Fiji, Kiribati or countries from the Oceania continent. For foreign workers from the United Kingdom, France, Germany, Italy and countries from European continent, the $3,500 security deposit rate is reduced to $3,300. Meanwhile, those from the Middle East, North America, South America and African continent the rate is $4,000, a $500 reduction from the previous rate $4,500.

Meanwhile, an officer from Takaful Brunei Am Sdn Bhd (TBA) said, JITPA is a new deposit payment method introduced by the Labour Department as an alternative to payment through cash deposit and bank guarantee to the Labour Department for the employment of foreign workers. Takaful guarantee functions as a payment guarantee to indemnify the Government of Brunei Darussalam, for the cost of repatriation of the foreign workers to their country of origin including the payment of daily subsistence, accommodation and medical expenses in the course of the repatriation.

The takaful guarantee shall reduce the burden of employers in paying the security deposits for foreign workers.

The next roadshow will be held in the Temburong District on August 31, 2016.

Source:
@BRUDIRECT.COM

by BruDirect.com

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