Mauritius Relies on 45,300 Foreign Workers to Meet Demands

Nearly 45,300 foreign nationals now hold work permits in Mauritius, according to a new report from an inter-ministerial committee. The report argues that foreign labour is not a threat to Mauritian workers and is, in fact, an essential catalyst for economic growth.

Foreign Workforce a ‘Catalyst for Growth’

A recent inter-ministerial report has revealed that 45,300 foreign workers currently hold work permits or exemption certificates in Mauritius.

The report, which was tasked with examining the difficulties faced by private companies in obtaining work and residence permits, states that the foreign workforce is not a threat to local labour but is instead a “complementary and essential catalyst for economic growth and social progress.”

The committee’s report highlights that employers are increasingly relying on foreign workers due to demographic challenges like a declining birth rate, an ageing population, and a mismatch between labour supply and demand in many sectors of the economy.

The Ministry of Labour and Industrial Relations is thus obligated to ensure that businesses have the necessary workforce in a timely manner without prejudicing the local labour force.

A Global Village and Future Reforms

The report notes that in today’s “global village,” there is an ease of movement and exchange of talent and skills.

It stresses that a “balanced and well-regulated approach” will help Mauritius “remain competitive and resilient” in the evolving global economy.

The authors of the report believe that “we must make the best use of the advantages that immigration offers to be able to achieve the expected growth of 3 to 4 per cent this year.”

To that end, the report recommends a series of reforms to streamline the process for obtaining work and residence permits, which have been noted as being “quite long.” .

Key Recommendations from the Report:

• Recruitment Agency Reforms: Amendments to 2024 regulations will introduce stricter eligibility criteria, integrity standards, and financial guarantees for private recruitment agencies to ensure “ethical and efficient recruitment.”
• International Cooperation: The report advises that Mauritius sign agreements with source countries to promote fair recruitment and reconsider restrictions on Bangladeshi workers in sectors with labour shortages.
• Administrative Process Streamlining: The report proposes replacing quota systems with a “proof of inability to hire locally” principle. It also recommends allowing direct submission of work permit applications, harmonising the maximum stay for foreign workers to 10 years, and revising fees for small and medium-sized enterprises (SMEs). An AI-powered digital platform is also suggested to facilitate job offers and local recruitment verification.
• E-Licence System and Policy Adjustments: The National Electronic Licensing System (NELS) should be enhanced to handle all permit types, integrate online payments, and coordinate with immigration for residence permits. The Technical Committee on Work Permits should be moved under the Ministry of Labour to expedite processing.
• Accommodation and Worker Protection: The report suggests streamlining the issuance of housing permits, allowing parallel processing with work permits, and creating a foreign worker service unit. It also proposes measures to protect migrant workers, such as allowing them to transfer employers, aligning employment terms with collective agreements, and banning employers from holding passports.
• Combating Illegal Employment: The report calls for intensified enforcement against employers hiring without valid permits and proposes legislative amendments to impose fixed fines, mandate worker repatriation, and offer amnesty to illegal migrants. It also recommends monitoring the working hours of foreign students.
• Migrant Welfare Fund: The report suggests that employers contribute Rs 500 Mauritian (£8.70) annually per migrant worker to fund subsistence and legal costs for workers involved in disputes.

Source: Le Mauricien