Wage Theft and Forced Labour Among Migrant Workers in South East Asia: Impacts of COVID-19 and Policy Responses

By ASEAN–Australia Counter Trafficking (ASEAN-ACT) with the support of the Australian Department of Foreign Affairs and Trade (DFAT), Migrant Forum in Asia

This study examines the linkages between wage theft and forced labour in labour migration within ASEAN, and the impacts of the COVID-19 pandemic on this phenomenon. The report seeks to provide an evidence base for policymakers on wage theft, and relatedly counter human trafficking and forced labour measures. The study was carried out in five countries in ASEAN- Thailand, Malaysia, Cambodia, Philippines and Indonesia- to capture experiences in both countries of destination and origin. Interviews were conducted with 451 migrant workers and further in-depth key informant interviews and focus group discussions with 140 respondents. The study also assesses the impact of the policies and practices of the government and non-government stakeholders in ASEAN during the COVID-19 pandemic on the indicators of forced labour and incidence of wage theft. The findings of the research indicate a strong correlation between wage theft and migrant workers’ experience of forced labour during the pandemic. 31% of respondents reported experiencing wage theft, among whom 46% were found to also have likely been in conditions of forced labour. The high incidence of wage theft worsened their working and living conditions during employment and upon return to their home countries. Vulnerability to wage theft and forced labour also appears to be influenced by factors such as irregularity in the migration process, a lack of effective protection or support mechanisms, lack of information provided to migrants, poor access to services, violation or absence of contracts, and lack of prioritisation of policies for migrant workers. The policy interventions during the pandemic were largely not designed to protect migrant workers from forced labour and wage theft. While basic services such as access to health care and other emergency relief were provided, migrant workers lacked access to social protection, access to justice mechanisms and assistance to retrieve unpaid wages both in the countries of destination and origin. The report contains recommendations for the consideration of policymakers at national and regional levels, that may help to address the incidence of wage theft and forced labour, and therefore the wellbeing of migrant workers in ASEAN. In brief, the recommendations are: 1. Develop or improve complaints mechanisms for migrant workers to seek justice, without fear of immigration enforcement, retaliation, detention, or deportation. 2. Increase access to information for migrant workers’ rights protection, services provided by governments and others, including digital platforms. 3. Develop an ASEAN model standard labour contract to reduce the incidence of forced labour and related violations. 4. Support national and regional advocacy spaces to raise the linkage of wage theft and forced labour. 5. Implement a framework similar to the ILO's Fair Recruitment Guidelines to support improving recruitment practices by agents, brokers and those responsible for migrant worker policies1 . 6. Strengthen or establish platforms of cooperation for government and non-government stakeholders to coordinate in grievance redressal and ensuring retrieval of unpaid wages and other benefits. 7. Establish a forced labour referral mechanism in ASEAN, which includes missions, representatives of the destination country, NGOs and regional observers, to report, refer, and monitor forced labour activities. 8. Strengthen monitoring and reporting systems within diplomatic missions of countries of origin to document whether migrant workers are paid their due wages and benefits. 9. Establish a permanent transitional justice mechanism at regional ASEAN level to respond to cases of wage theft2 . 10. Establish or strengthen compensation funds for workers to receive unpaid wages and benefits, and related legal services, by both diplomatic missions of countries of origin and countries of destination.

ASEAN–Australia Counter Trafficking (ASEAN-ACT), 2024. 46p.