From May 1, the cost of hiring a Filipino domestic helper will increase from $550 to $570 per month.
The Philippines Embassy’s Overseas Labour Office (POLO-SG) said that this increase is due to the 'fluctuation of exchange rates of the USD'.
Additionally, the Labour Office will be more stringent in going after employment agencies which deduct placement fees from the salaries of Filipino domestic helpers. Channel NewsAsia reported that while Filipino laws prevent employment agencies from deducting placement fees from domestic helpers, Singapore's Ministry of Manpower (MOM) allows agencies to deduct up two months of salary for placement fees.
However, the Labour Office has been receiving reports of Singapore employers who deduct up to eight months worth of salary from Filipino domestic helpers to cover placement fees.
In October 2016, Transient Workers Count Too (TWC2) released a study which found that Singapore employers and agencies deducted an average of 4.7 months worth of salary for placement fees - much higher than the two months worth ruled by MOM.
The POLO-SG said that agencies who insist on collecting placement fees through salary deductions will have 'immediate suspension of documentary processing'.
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Top photo via International Business Times
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