Hiring new Indonesian helpers to cost over HK$20,000

Hong Kong employers might need to pay over HK$20,000 to hire an Indonesian domestic helper from now on after Indonesian authorities announced that employers will have to bear all transportation, training, and administrative costs.

Currently, hiring an Indonesian domestic helper costs around HK$12,000 to HK$18,000 in agency fees.

It is understood that the Indonesian government plans to foot a HK$9,000 bill to Hong Kong employers, which covers transportation, training, and administrative costs previously paid by the helper.

The total cost of hiring an Indonesian domestic helper could surge to up to HK$27,000 following the change.

Local agencies worry that the increase in price will affect Hongkongers’ intention to hire Indonesian domestic helpers, turning their heads to helpers from the Philippines or other countries.

Lawmaker Frankie Ngan Man-yu said employers might become more conservative in pay adjustments for domestic helpers and even freeze salaries if they have to pay a higher intermediary fee. 

Ngan suggested that the government actively explore more foreign domestic helpers sources and ensure an adequate supply of helpers in the market.

He believed the "job-hopping" of Indonesian domestic helpers would significantly increase employers' hiring costs.

Ngan said the Code of Practice for Employment Agencies that to be amended by the Labour Department, which includes the elimination of "job-hopping" of FDHs, could end the illegal intermediary practices while also protecting the interests of employers.