Few reports have as much significance in the world of labor rights as the bi-annual U.S. Department of Labor’s List of Goods Produced by Child Labor or Forced Labor, the latest edition of which was released on September 30.
Despite the growing awareness of, and commitments to, ethical recruitment, an analysis of CUMULUS data from early 2019 to the present reveals that less than five percent of employers fully absorb the true cost of cross border recruitment, including all recruitment fees and related costs. Instead, those costs continue to be passed on to foreign migrant workers.
Migrant workers are frequently confronted with a choice: pay illegal or unethical recruitment fees for employment abroad or go without work altogether. To finance these exorbitant costs, they may take out loans that leave them vulnerable to debt bondage, a form of forced labor. For more than a decade, Verité has worked with global companies in diverse sectors to ensure their suppliers and business partners absorb the true cost of recruitment and prohibit the charging of recruitment costs to workers, in accordance with international standards and regulations.
Prohibiting federal contractors from charging workers recruitment fees is a cornerstone of the Federal Acquisition Regulation (FAR) requiring contractors and subcontractors to take specific preventive measures to detect and eliminate forced labor and human trafficking in their supply chains. In December 2018, the U.S. Government amended the FAR to include a comprehensive and clear definition of what constitute “recruitment fees.”
