Effect of the Global Financial Crisis to Our OFW’s (Overseas Filipino Workers)
Posted on October 18th, 2008
Don’t look now, the global economic crisis affects the Philippines in more ways than we can think of. Specifically, our Overseas Filipino Workers (OFWs) are facing fears of losing their jobs amidst this crisis.
Christy Arciaga, a Filipino maid, does not own any shares but her businessman employer does. And according to her, he has become more irritable lately as he sees his investments being swallowed in a sea of red ink. As he sees the market report before breakfast on the television, he gets angry and often tells Christy that he might send her home even before her contract ends.
Christy is just one among the many thousands of migrant workers, which include maids, restaurant staffs, and laborers working in rich Asian cities such as Singapore and Hong Kong. All of whom are worried that the economic slowdown would hit their employer’s finances and leave them without jobs. This in turn, would mean that the amount of remittances they send home to their families will suffer. Which means there would be less or no more money for food, clothing and schooling.
William Gois, regional coordinator of the non-government group Migrant Forum In Asia, said that massive retrenchment would worsen poverty in the migrants’ home countries. The Philippines, together with Indonesia, Bangladesh, and Sri Lanka are key exporters of human labors, which would be affected.
Although there have been no reports yet of massive layoffs, workers interviewed said they are worried. In Singapore, sending home a maid could save a household at least S$600 (US$407) a month. Many of those who employ maids also dabble in stocks and other financial products whose value has been eroded because of the turmoil.
Truly, this economic crisis has a great impact on Filipinos, as well as the Philippine economy. According to Bangko Sentral ng Pilipinas, money sent home by Filipinos working abroad totaled $9.6 billion for the first seven months of the year and is expected to hit a record $15.9 billion for the whole year of 2008, if not this crisis.
