HOW the 1978 FOREIGN DOMESTIC WORKERS LAW INCREASED the LABOR SUPPLY of SINGAPOREAN WOMEN

Abstract

In 1978, Singapore became the first country to introduce legislation allowing foreign domestic workers to work in the country under special visas. Although Singapore is often cited in the literature as a success story, no studies have quantified the impact of this legislation. In this paper, we use data derived from the Singapore Yearbook of Manpower Statistics between 1974 and 1985 to determine the influence of the 1978 legislation on the labor supply of Singaporean women. We find that the labor supply of women affected by this policy increased by between 3.1% and 6.2%.