Costs of Migration

As part of Canada's Seasonal Agricultural Workers Program (SAWP), Canada ensures that seasonal migrant agricultural workers are paid at the level of, or above, local minimum wage and provides other guarantees.

The employer must pay a wage equal to the highest provincial minimum wage, or the rate that Human Resources and Skills Development Canada (HRSDC) determines to be the prevailing wage for the type of agricultural work being performed, or the rate being paid by the employer to Canadian workers performing the same type of agricultural work.

The agreements established a clearly defined recruitment process which must be followed by all parties, including by private recruitment agencies (PRAs). They specify that the Canadian employers should first inform their domestic Employment and Immigration Departments about the availability of jobs and seek permission to recruit. If the permission is granted, the Departments then relays the information to the Philippines Department of Labour and Employment which in turn alerts licensed PRAs in the Philippines to the recruitment opportunities.

The Pakistan Remittance Initiative (PRI) was launched in 2009 by the State Bank of Pakistan, the Ministry of Overseas Pakistanis and the Ministry of Finance for the purpose of (a) facilitating and supporting a faster, cheaper, convenient and more efficient flow of remittances, and (b) to create investment opportunities in Pakistan for overseas Pakistanis. The PRI has encouraged the financial sector to provide greater commitment to remittance services.

The agreement aims to meet the temporary seasonal needs of Canadian agricultural producers during peak harvesting and planting periods. Under this Seasonal Agricultural Workers Scheme the government of Trinidad and Tobago established public authorities in Trinidad and Tobago and in Toronto, Canada to oversee recruitment and placement.

The Republic of Korea introduced the Employment Permit System (EPS) in 2004, which recognized the need for low-skilled workers by Korean enterprises (particularly of small and medium sizes) in construction, manufacturing, agriculture and services, and introduced a government–to-government labour recruitment programme based on mandatory MOUs with 15 countries in Asia. A major achievement is the reduction in the average cost paid by a worker from US$3,509 under the trainee system in 2002 to US$927 under the EPS system in 2011.

The Philippine Department of Labor and Employment (DOLE), through department order No. 130 (2013) has regulated that no fees or other charges for recruitment, placement or providing employment can be placed on seafarers.

The India Emigration (Amendment) Rules 2009 provide protections regarding recruitment of foreign workers, including limiting the maximum amount for service charges, requiring the registration of recruitment agents, and preventing licensed agents from employing sub-agents to conduct their business.

UAE law includes the prohibition of accepting or demanding payment from workers whether before or after recruitment (Article 18 of UAE Labour Law No. 8, 1980).
The provision stipulates:
"It is not permissible for any licensed labour agent or supplier to demand or accept from any worker whether before or after his recruitment, any commission or material reward in consideration for arranging such recruitment, nor may he obtain from him any expenses except as may be decided or approved by the Ministry of Labour and Social Affairs.

TawiPay (www.tawipay.com) is a pilot money transfer project that started in 2015. Its main goal is to increase transparency in remittance channels. The Swiss State Secretariat for Economic Affairs (SECO) financed the establishment of the two remittance channels, Switzerland–Serbia and Switzerland–Bosnia. The project’s objective is to enable migrants/diaspora communities to reduce the cost of sending money to their home countries.

In Sri Lanka officials admit that going through the formal channel does not guarantee that migrants will receive their agreed-upon salary.