Labor Migration and Regional Changes in East Asia: Outflows of Thai Workers to Taiwan(<Special Issue>Population and Globalization)

Abstract

The Thai economy grew dramatically in the past few decades, particularly between 1985 and 1995. During that period Thailand ceased to be solely a labor-exporting society and became one that both sends workers abroad and receives foreign labor. At present the number of foreign professionals working in the kingdom exceeds 200, 000. The stock of workers from neighboring countries was nearly 1 million before the 1997 economic crisis. On the contrary, Thai laborers started moving overseas in the early 1970s to work in the Gulf region. The direction of labor flow gradually shifted to East Asia, as Japan and the NIEs began having labor shortages in the 1980s. In light of the Thai experience, the link between international labor migration and regional economic changes becomes an intriguing topic for research. This article investigates the migration systems that exist between Thailand and the destination countries in East Asia. It focuses on the migrant flows to Taiwan before and after the legalization of labor importation in the early 1990s, identifying the labor market segments into which Thai workers have been recruited. The main concern is the consequences of the labor movements on individual workers, in particular their earnings and their working and living conditions in Taiwan. The analysis also addresses key policy implications for both Thailand and Taiwan, which are closely linked not only by labor movement but also by trade and direct investment.