January 6, 2025, 3:01 am

Employment falls, remittance rises, only Saudi labour market open

  • Update Time : Friday, January 3, 2025
  • 22 Time View


TDS Desk



After a steady climb over the past two years, overseas employment has somehow slowed down over the past one year. Last year there was a drop in employment by 300,000 workers as compared to the year before that. It is apprehended that this will fall further this year. However, on a positive note, there was been a rise in overseas remittance despite this fall in overseas employment.

Bangladesh faces this predicament due to the closing of three major overseas labour markets. Saudi Arabia is now the open labour market that remains open.

According to the Bangladesh Bureau of Manpower, Employment and Training (BMET), 617,000 workers went overseas in employment in 2021. The next year this figure increased to over 1.1 million (11 lakh) employees. With an increase by another 200,000, this number in 2023 stood at over 1.3 million (13 lakh). However, last year this fell by 300,000 to 1 million (10 lakh).

Of this, 90 per cent of the workers went to five countries — Saudi Arabia, Malaysia, Qatar, Singapore and United Arab Emirates (UAE).

The labour markets of Malaysia and the Emirates are closed, however. Oman, another large labour market for Bangladesh, also has halted recruited at present. There is, therefore, apprehension of a further decrease in migrant workers this year.

Over 350,000 workers went to Malaysia in 2023. But the country’s labour market shut down from June last year. Less than 100,000 workers managed to go there last year. That means last year fresh employment there fell by over 200,000. Over 125,000 workers went to Oman in 2023. With the country’s labour market remaining closes last year, only 358 managed to go. In 2023 around 100,000 workers went to the Emirates. Last year only 47,000 went.

Employment, however, has increased in Saudi Arabia. In 2023 about 500,000 workers went to Saudi Arabia. Last year this exceeded 625,000. This trend may continue this year. After that new employment may decrease in Saudi Arabia too. There are also complaints of not getting work in accordance to the contract once arriving in Saudi Arabia. The workers thus become illegal there and are nabbed by the police to be sent back home.

The highest number of workers returning home empty handed without passports is from Saudi Arabia. Saudi Arabia is to be the host of the 2034 football World Cup. According to sources, construction of infrastructure for the event has already begun. Demands for workers are coming in steadily. Over the past three months over 80 per cent of the overseas employment has been to Saudi Arabia. After June this year there may be a fall in sending workers there, sources say.

While the official claim is that workers are being sent to 168 countries, in the year 2024 workers were sent to 135 countries. However, a negligible amount went to most of these countries. Only one worker each went to 14 countries. In another 14 countries, only 2 workers went each. There are only eight countries where at least 10,000 workers went. Over 100,000 workers went to Saudi Arabia only.

Secretary general of the Bangladesh Association of International Recruiting Agencies (BAIRA) Ali Haider Chowdhury told This correspondent almost all labour markets have shut down other than Saudi Arabia. Dependence on a single marker can create complications. There will be a disaster if for any reason the Saudi market shut down. So caution must be exercised to ensure this market remains open and, at the same time, it is important to create alternative employment markets.

WORKERS DOWN, REMITTANCE UP

Last year remittance of USD 26.7 billion (USD 2670 crore) came to the country. Never before in the country’s history has remittance been so high. In 2021 the remittance has crossed USD 22 billion (USD 200 crore). Sources say after the change in political scenario, money laundering has dropped. Imports, exports, business and trading have come to somewhat of a standstill. This has curtailed illegal money transfer, hundi. As a result, expatriates are sending more remittance through formal channels.

Refugee and Migratory Movements Research Unit (RMMRU) says the main challenge is dependence on one single country. Bangladeshi’s overseas employment is limited to the same handful of countries. This creates a risk in holding on to these markets.

Founder chair of RMMRU Tasnim Siddiqui, speaking to this correspondent, said the biggest weakness is dependence on a specific labour market. During any crisis, migrant workers increase their remittance. With the change in government, their hopes arise. With the change in circumstances, their trust in the banking system has been restored. The demand for hundi has fallen. Overall there has been an increase in remittance. But we must emerge from this single-market dependence. The government must place emphasis on the market management of this sector.

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