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Garment firms appeal labor cap
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Posted on Jan 06 1999
Gov. Pedro P. Tenorio said yesterday he will look into the request of garment manufacturers seeking exemption from a proposed legislation that will put a cap on the number of foreign workers that can be employed in the garment industry.
The governor yesterday met with garment representatives who appealed to spare manufacturers from the measure since some members of the industry have already paid for fees that go along with the hiring of workers since last year.
According to Tenorio, apparel makers are seeking to ease the restriction in fear that they would not be able to reimburse fees they paid for application and permits pending in the Department of Labor and Immigration once the law in put in place.
He said the problem will be discussed with the Legislature and key officials of the administration to address the concerns raised by the garment manufacturers.
In November, the House of Representatives passed a proposal to limit the number of non-resident workers employed in the garment sector, setting aside the proposed attrition system put forward by Speaker Diego T. Benavente.
Under House Bill 11-315, garment manufacturers will be allowed to retain a limit of 15,727 with an absolute quota for each licensed garment firm in the Northern Marianas.
But Benavente had argued that the legislation will provide additional hiring of 500 to 600 non-resident workers – a move that will earn disapproval of the federal government which has been pushing for a reduction in the size of aliens employed by garment makers.
Declining government revenues due to slowdown in the tourism industry, the backbone of the island economy, has prompted legislators to provide a leeway to the operations of garment firms, whose combined gross revenues last year topped $800 million.
The sector has remained the only constant source of income for the commonwealth in the wake of double-digit drop in tourist arrivals.
