Having experienced an economic crisis earlier, Taiwan was on its way to recovery when the crisis struck in 1997. In general, Taiwan's labor market was hardly affected by the crisis. Although the demand for foreign workers continues, there will be a decline in the employment of foreign workers in the future. The completion of construction projects and the upgrading of the economic structure would imply a lesser demand for foreign workers in the next few years. In the future, while the Taiwanese labor market would be more restrictive of less-skilled workers, it would be more open to professionals and highly skilled.

Ng, Sek-hong and Grace O.M. Lee
"Hong Kong Labor Market in the Aftermath of the Crisis: Implications for Foreign Workers," Vol 7, (2-3), p. 171-186, 1998.

Hong Kong suffered economically and socially from the Asian financial crisis. Due to the speculative attack on the Hong Kong dollar, which is pegged to the US dollar, businesses suffered from tight liquidity and high interest rates. The stock market as well as the property market plunged by more than 40 percent in less than nine months. Tourism and other consumption-related sectors such as retail and restaurants also suffered as a result of the depreciation of currencies in Japan and other Southeast Asian countries. Poor business performance led to mass lay-offs and retrenchment. However, the local workers rather than the guest workers were more adversely affected by the crisis. In spite of the guest workers’ apparent marginality in the labor market, there have been hardly any reports of en masse retrenchment and repatriation of these workers. However, the chances of guest workers to obtain employment in Hong Kong may be on the downturn.

Hui, Weng-Tat
"The Regional Economic Crisis and Singapore: Implications for Labor Migration," Vol 7, (2-3), p. 187-218, 1998.

Backed by sound economic fundamentals and policies, the Singapore economy has so far been able to cope relatively well with the economic crisis. However because of its close links with the regional economies, the deepening crisis is expected to result in a significant economic slowdown not seen since the last recession in 1985. The worsening labor market conditions are not expected to lead to massive retrenchment and repatriation of foreign workers because of the policy of retaining workers by performance rather than by their nationality. Irregular migration is an increasing problem and as unemployment rises, the effective regulation and management of foreign labor and migration flows pose a crucial challenge to policy makers in Singapore.

Park, Young-bum
"The Financial Crisis and Foreign Workers in Korea," Vol 7, (2-3), p. 219-233, 1998.

Since the financial crisis started, the employment situation in Korea has been worsening. In a span of six months, about one million people lost their jobs. By offering the amnesty program to undocumented foreign workers right after the IMF measures took effect, the Korean government revealed its view of foreign workers as a buffer against economic ups and downs. About one-third of the illegal workers left Korea under this program. However, many Korean firms are still having difficulties in hiring local workers for the jobs which were previously held by foreign workers. This indicates that the government should reconsider its position concerning the importation of foreign labor.

Watanabe, Susumu
"The Economic Crisis and Migrant Workers in Japan," Vol 7, (2-3), p. 235-254, 1998.

The employment situation in Japan continues to deteriorate, and it will take some time before recovery starts. The current economic crisis has had little negative impact on the inflow of migrant workers, both legal and illegal. The declines recorded in recent years are due more to stricter control of illegal migration in Japan and in a few sending countries. The crisis, however, has reduced the earnings of some groups of migrant workers. Illegal workers are more vulnerable because they are not protected from abuse as much as legitimate workers, nor do they usually come out to seek official services offered. More serious international efforts are required to curb the illegal flow of workers. An aggressive labor export policy may work against workers’ welfare especially at the time of crisis in host economies.

Pillai, Patrick
"The Impact of the Economic Crisis on Migrant Labor in Malaysia: Policy Implications," Vol 7, (2-3), p. 255-280, 1998.

The regional crisis will increase employment and income inequalities within and between countries, thereby further increasing emigration pressures and drawing into sharper focus the disjunction between capital movement, State sovereignty and migration. Malaysia, with one of Asia’s largest foreign labor pools, is a case in point. The financial crisis has hit most sectors, but migrants in construction and services are particularly affected. Official retrenchment data do not include the tens of thousands of documented migrants whose permits were not renewed on expiry, or the undocumented migrants repatriated. Though security concerns appeared to override market factors soon after the crisis broke out, demand for labor, employer pressure, and the prospect of higher revenues from migrant levies and pension fund contributions encouraged the State to change its stance and adopt a more flexible policy on migrant recruitment. Nationally, there is an urgent need for a clearer social consensus, culminating in a more consistent, predictable and detailed program to reduce foreign labor dependence. Regionally, governments have to create more jobs and reduce poverty so that migration pressures are eased.

Kurus, Bilson
"Migrant Labor: The Sabah Experience," Vol 7, (2-3), p. 281-295, 1998.

Sabah has been the recipient of countless migrants for centuries. The most recent of these are largely Indonesians and Filipinos who come for economic reasons. The current economic turmoil has affected the capacity of the state to provide employment to both local and foreign workers. While Sabah is working towards reducing its dependence on foreign workers, it is likely that Sabah will continue to depend on migrant workers in the short and immediate term. The Sabah experience suggests that a more systematic approach is needed to regulate the flow of migrant labor in the region. But for this to succeed, the support and cooperation of all the relevant parties would be essential.

Chalamwong, Yongyuth
"The Impact of the Crisis on Migration in Thailand," Vol 7, (2-3), p. 297-312, 1998.

Thailand’s current economic crisis resulted from the bursting of the bubble economy that developed from a combination of excessive speculation and liberalization of the finance system. Not only is Thailand expected to post a negative 5.5 percent economic growth and 9.4 percent inflation by the end of 1998, but it will also experience a reversal of rural-urban migration trends. The Thai government is stepping up enforcement against illegal foreign workers and is seeking help from neighboring states in facilitating the reintegration of their workers. At the same time the government targets to send at least 215,000 Thai workers to other countries.

Ananta, Aris, Daksini Kartowibowo, Nur Hadi Wiyono and Chotib
"The Impact of the Economic Crisis on International Migration: The Case of Indonesia," Vol 7, (2-3), p. 313-338, 1998.

The severe and long crisis that hit Indonesia has affected many facets of the country’s life, including migration into and from Indonesia. The paper describes the worsening of economic conditions in Indonesia, which may last until at least the end of 1998. Emigration pressures on both the skilled and unskilled labor force will keep rising. The paper argues that leaving out market forces in the government policies of Indonesia as well as those of the host countries are only likely to lead to illegal migration. The main recommendation of the paper is to have a comprehensive liberalization policy which considers market forces in the larger context of international relations. The issue of out-migration from Indonesia should be seen simultaneously with the entry of international labor, trade and capital to Indonesia.

Böhning, W. R.
"Conceptualizing and Simulating the Impact of the Asian Crisis on Filipinos’ Employment Opportunities Abroad," Vol 7, (2-3), p. 339-367, 1998.

In the absence of hard registration or survey data on return migrants, this paper first seeks to identify the factors that reduce Filipinos’ employment opportunities in countries affected by the current crisis and then carries out two rounds of simulation to estimate the orders of magnitude involved. The first round consists of a simple employment elasticity exercise. The second takes account of anticipated sectoral, occupational or other impacts. Finally, the paper briefly lists the measures available to the Government to deal with return migration.

Ahmed, Shamsun Naher
"The Impact of the Asian Crisis on Migrant Workers: Bangladesh Perspectives," Vol 7, (2-3), p. 369-393, 1998.

This paper addresses the impact of the recent Asian financial crisis on migration in Bangladesh. The crisis has stemmed the outflow of migrant workers to the affected countries but also diversified the flows as well as sparked rising return migration. Remittances and foreign exchange reserves are likely to be adversely affected. Irregular migration towards more diversified but less remunerative pockets has increased. What is more disconcerting is the increasing trend in the ranks of the already sizable unemployed. The government should gear up retraining, rehabilitation and reintegration measures. Insurance schemes and other safety nets may be introduced to meet unforeseen crisis. Migration is a humanitarian issue. It has to be addressed through a sensible legal regime where interests of both the sending and receiving countries could be accommodated.