Wage Theft and Development Loss
As the world moves forward in building back better, it is pertinent to recognize how migrant
workers’ experience of wage theft has had a subsequent impact on development in more
ways than one. The colossal amount that migrant workers lose in wages and benefits is
equivalent to what is lost in reintegration, in remittances, and in economic development
gained from migration overall. Considering the amount documented through the Justice for
Wage Theft platform is only a small fraction of the total owed to migrants across the world,
it can be inferred that there is also a significant loss of potential success stories of migrant
workers - in entrepreneurship, social enterprises, and successful return and reintegration
programs.
When migrant workers return empty-handed, without having been able to receive their
wages and end-of-service benefits through years of service, countries of origin
simultaneously bear the brunt of wage theft experienced by migrant workers as they return
home. Migrant workers experience psychosocial impacts as a result of wage theft. As they
return home, they are burdened with an increasing load of problems they need to figure
out solutions to as a result of being unpaid their dues and salaries. Instead of looking
forward to coming home to their families, they are burdened to deal with issues such as
unpaid debt, unemployment, and especially the survival of their families while dealing with
the uncertainty of their livelihood. Countries of origin in this respect bear the costs
manifested by the psychosocial impacts which migrants experience - specifically in the
form of social protection needed to support migrants upon their return.
Let’s not make the mistake by
equating wage theft with the
pandemic because wage theft
was there before the pandemic.
The pandemic only amplified
these problems because
employers chose to use the
pandemic as an excuse to not pay
wages and benefits to migrants.
Sumitha Shaanthini Kishna, Chairperson of the
Executive Committee, Migrant Forum in Asia
at the UN General Assembly Side Event,
“Strengthening Migrant Protection: Addressing
Wage Theft Against Migrant Workers During
the COVID-19 Pandemic “
While countries of origin attempt to
manage the consequences of wage
theft to their migrants, countries of
destination continue to reap the
benefits of the service and hard
work of migrant workers and its
resulting contribution to the
economic growth of countries of
destination. From this perspective,
migrant workers are subsidizing the
development of countries of
destination. There is an increasing
disconnect between countries of
origin and destination as the
amount of wages lost in the growing
cases of wage theft continues to be
unknown and unaccounted for.
Without the sense of accountability from states, there is also a sense of justice that is
missing for migrants as they step into their lives after migration. There is a need for
countries of origin and destination to step up in partnership and collaboration to leverage
access to justice for migrants while forming a linkage with sustainable and inclusive
reintegration. A framework must be developed to identify co-responsibility between states
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