NEW DELHI:Taiwanand India inked a pivotal agreement on Friday to facilitate the influx ofIndian migrant workersto Taiwan, marking a significant shift from Taipei’s conventional reliance on Southeast Asian nations for itsforeign labor force, a Reuters report said.Why it mattersWith a populace grappling with the challenges of an ageing society, Taiwan, a global semiconductor powerhouse, is in dire need of rejuvenating its workforce.The island currently hosts approximately 700,000 migrant workers predominantly from Vietnam, Indonesia, the Philippines, and Thailand, engaged mainly inmanufacturingand caregiving roles.Zoom inThe memorandum of understanding, signed between the de facto embassies of the two nations in Taipei and Delhi, sets the stage for a broader engagement, although specifics regarding implementation remain pending.This move underscores Taiwan’s escalating demand for labor across sectors like manufacturing, construction, and agriculture – a demand it can no longer meet domestically.”The quality of Indian labour is stable, they are hard working and well considered,” highlighted Taiwan’s Ministry of Labour, signaling the anticipated positive impact of this workforce integration.Between the linesA small-scale pilot scheme will start first, and if that goes well more Indian workers will be allowed in, it added, without saying how many workers may eventually come only that the numbers would be decided by Taiwan.Taiwan has previously denied reports that up to 100,000 Indian workers may be allowed in.The big pictureBeyond labor dynamics, this agreement reflects the nuanced geopolitical relationships in the region. India and Taiwan, despite lacking formal diplomatic ties due to China’s claims over Taiwan, share robust business connections. India’s eagerness to draw Taiwanese tech investments and its intricate relations with China, especially concerning border disputes, add layers of strategic depth to this labor agreement.Both India and Taiwan have sought to deepen their cooperation with like-minded partners, such as the United States, Japan and Australia, to counter China’s rise. In pursuit of China plus one policy, a number of Taiwanese companies are setting up manufacturing units in India
As tensions between Washington and Beijing escalate, Foxconn’s growth in India highlights the potential decline of China’s dominance in global consumer electronics production.Major US companies like Apple are urging their suppliers in China to consider diversifying their manufacturing bases to include countries like India and Vietnam. This shift in the global supply chain, hastened by the pandemic and the conflict in Ukraine, may fundamentally alter the landscape of global electronics manufacturing.What nextAs both nations tread carefully on the path of collaboration, the success of the pilot program will be crucial in determining the scale and impact of this labor exchange. The unfolding of this partnership may well redefine regional workforce dynamics and signal a new era of Indo-Taiwanese relations, amidst the backdrop of complex geopolitical contours.Not just TaiwanIndian workers are not shy to wade into war zones for a job.Thousands of Indians flocked to a recruitment centre in early January for jobs that would take them to Israel despite the three-month Israeli-Hamas war that is devastating Gaza and threatening to ignite the wider Middle East.
In May last year, Israel and India signed an agreement allowing 42,000 Indian workers to work in the construction and nursing fields in Israel.India and Russia are also discussing ways to attract Indian employees to tide over labour shortages, Russian ambassador to New Delhi Denis Ailpov said last year. He said that an effort is now being made to attract the Indian diaspora, drawing a comparison with the large populations of Indian immigrants in western nations.(With inputs from agencies)
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