A leading European industrial company discovered through audits that migrant workers from Asia were paying substantial recruitment fees to secure employment in Europe. Many workers remained in debt from these payments, creating a situation of potential forced labor. The recruitment networks often operated informally, with workers hesitant to speak up due to fear of retaliation against themselves or family members in their home countries. The client was unaware of these practices and sought expert guidance to address both the immediate situation and implement long-term preventive measures.
CLIENT CHALLENGE
The company faced a complex ethical and operational challenge requiring immediate action while maintaining operational continuity. Specifically, they needed to:
- Understand the full scope of recruitment fee issues across multiple European sites
- Develop appropriate remediation for workers already affected
- Create sustainable solutions to prevent future occurrences
- Address potentially exploitative living conditions managed by subcontractors
- Navigate the sensitive nature of the investigation without endangering workers
results & impacts
Through structured engagement with approximately 500 workers across multiple European sites, Ksapa delivered:
- Comprehensive understanding of recruitment pathways and fee structures
- Documentation of outstanding debts and their impact on workers’ freedom
- Assessment of living conditions and identification of key improvement areas
- Clear remediation plan including debt forgiveness mechanisms
- Stronger subcontractor management protocols with enhanced screening
- Implementation of an ethical recruitment policy with verification systems
- Training program for procurement and site management teams
- Anonymous reporting channel for ongoing monitoring
The company successfully eliminated recruitment fees for existing workers through financial remediation and transformed their approach to migrant worker recruitment. This not only resolved the immediate situation but positioned the client as an industry leader in ethical labor practices.
TAKE ACTION NOW
Don’t wait for audits to reveal labor rights issues in your supply chain. Our specialized engagement approach helps construction companies identify and address recruitment fee problems before they become compliance failures or reputational risks.
Contact us today to schedule a confidential assessment of your migrant labor practices.
