Source: Onoodor                  June 03, 2010

The Standing Committee on Foreign Policy and Security held a closed-door meeting last week as the subject under discussion – employment of Mongolians in the Oyu Tolgoi project – was considered too sensitive for a public hearing.  Minister of Finance S. Bayartsogt reported to the committee that not enough skilled Mongolians have been found to work during the construction phase, due to begin soon, and sought permission to import 2,600 Chinese workers. The investing companies are ready to employ Mongolians as not less than 60% of their total employees, which works out to 3,900. The problem is that the Investment Agreement also ensures that only qualified people will be employed.

The Minister’s report that just about 1,000 adequately qualified Mongolians have been identified to pave roads and build power lines did not please members of the Standing Committee. They suggested tagging under-qualified Mongolians to the work force so that they could be trained on the job.

So far Oyu Tolgoi LLC has given work to around 1,500 Mongolians and will offer temporary employment in Ulaanbaatar to 3,000 people at MNT180,000 a month. Both Minister of Minerals and Energy D. Zorigt and Minister of Social Welfare and Labor T. Gandhi have clarified that this program is not under the terms of the Investment Agreement.

Members of the Standing Committee wanted to know why 14,000 young Mongolians have registered for 3,100 jobs in South Korea as industrial workers when mining activity is on the rise in the country.