Global Crackdown on Migrant Worker Exploitation Intensifies

Labour authorities and worker advocacy groups across multiple jurisdictions are stepping up efforts to combat the exploitation of migrant workers, following a series of legal rulings and research…

Labour authorities and worker advocacy groups across multiple jurisdictions are stepping up efforts to combat the exploitation of migrant workers, following a series of legal rulings and research reports that reveal widespread wage theft and precarious employment conditions.

Irish Tribunal Awards Thousands to Underpaid Migrant Worker

Ireland's Workplace Relations Commission (WRC) has ordered Buildify Construction and Technology Ltd to pay €14,257 to Dongming Hou, a Chinese national who worked as a construction engineer. Adjudicator Tom O'Driscoll found that Hou was systematically underpaid during his employment between September and December 2024.

Evidence presented at the hearing, including photographs from the messaging platform WeChat, showed that Hou worked 10-hour days and 56.76-hour weeks. Despite these hours, he received approximately €1,600 per month — roughly €7 per hour, well below the national minimum wage. The award includes €12,151 in wage arrears and €2,106 for unpaid annual leave. Hou, who performed electrical work, painting, and plumbing, was dismissed via text message in March 2025. The employer did not attend the hearing.

In a separate ruling, construction firm Kenplast Ltd was fined €16,940 for underpaying plasterer Joseph Lennon. Between November 2024 and May 2025, Lennon was paid €19.85 per hour — short of the legally required €22.24. The fine included €10,000 for missing benefits such as pension contributions, sick pay, and death-in-service coverage, alongside penalties for failing to provide written employment terms.

Research Reveals Global Scale of Underpayment

These individual cases reflect broader international trends. A survey of approximately 10,000 workers by the Migrant Justice Initiative in Australia found that two-thirds of migrant workers are underpaid. The report estimates that international students alone lose $3.18 billion per year to underpayment, with one-quarter of respondents reporting they were paid at least $10 per hour below the legal rate. Researchers also noted an increase in "sham contracting" and insecure work arrangements.

In Canada, a study published in the journal Labour by Jason Foster of Athabasca University examined the experiences of 148 temporary workers. The findings suggest that many professionals, including accountants, face "deskilling" and are pushed into low-wage roles over time. The study called for improved pathways to permanent residency to address these precarious conditions.

Policy Responses and Union Action Across Europe

Governments and unions are responding with a mix of policy adjustments and threats of industrial action. In Ireland, the Department of Justice has introduced an interim measure allowing holders of expired Irish Residence Permit (IRP) cards to continue working until August 31, 2026, provided they applied for renewal before their current card expired. The move addresses significant delays in permit processing.

The Irish Congress of Trade Unions (ICTU) is lobbying for a €1 increase to the minimum wage, which would bring it to €15.15 per hour by January 2027. The proposal is part of a broader submission for Budget 2027, scheduled for October 6.

In Cyprus, construction and hotel unions have warned of illegal "sub-renting" of third-country workers. Unions including PEO, SEK, and DEOK allege that workers are registered as domestic helpers but then illegally leased to agencies and contractors without formal contracts or benefits. Labour Minister Marinos Mousiouttas, who met with union representatives on June 26, has pledged to increase inspections. Unions have indicated they may take "dynamic measures" if the issue is not resolved by September.

Spain has reported a massive response to its recent regularisation process. Between April and June 2026, the government received 1,174,978 applications from migrants seeking legal status. While only 11,000 have been fully resolved, the process has already led to 159,097 new Social Security registrations. Prime Minister Pedro Sanchez noted that without migration, the country's GDP would be significantly lower by mid-century.