Federation Backs Ban On Fly-In Fly-Out

Post Courier | July 9, 2019

The Resource Owners Federation of Papua New Guinea has commended Minister for Immigration and Border Security Petrus Thomas on the proposed ban of the controversial fly-in fly-out (FIFO) system of employment by the extractive and other industries.

Federation president Jonathan Paraia said the practice has seen the loss of billions of kina in disposable income and other benefits over many decades to foreign countries.

He claimed that it was first introduced by the Ok Tedi, Porgera and Lihir mines which has not only seen the loss of disposable incomes of the employees but has also denied the project areas of social, economic and infrastructure development which could have improved the life styles of the citizens of those areas and the country.

“The resource owners of this country have persistently complained about the FIFO system to successive governments for decades through media publicities and others but no action was ever taken by any government to ban the system, for reasons only they can explain. It is their deliberate negligence that has seen the loss of billions of kina to the country,” said Paraia.

He said the federation has not yet identified any country in the region that allows foreign employees to work in their countries on a FIFO basis. Instead, the foreign workers are required to live in the countries of employment with their families for the duration of their employment contracts.

“This requirement ensures that the country and its communities in which the foreign employees work bene t from the disposal incomes of those workers.

“For example, some Papua New Guineans work and live in Australia, New Zealand, Cananda, Africa and other countries, but they do not fly in and fly out from Papua New Guinea on a regular basis,” he said.

The federation expects that the proposed policy, if adopted, will see a significant development of quality infrastructure in housing, health, education and commercial facilities, to service non y-in y-out communities of employees who will now live and spend their disposable incomes within the country boosting its economy.

1 Comment

Filed under Financial returns, Papua New Guinea

One response to “Federation Backs Ban On Fly-In Fly-Out

  1. Wendy Lee

    Apart from the benefits to PNG of building more infrastructure, strengthening communities and of employees spending their disposal income in-country, the negative environmental effects of aircraft emissions on climate change should also be considered. PNG (and other countries) should be trying to minimise the use of flying unless it is absolutely necessary.

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