Wage theft incidents on the rise among Kerala migrant workers in Gulf countries: Study

Incidents of wage thefts have increased among Kerala migrant workers in Gulf countries, owing to the government’s decision to allow businesses that were economically suffering from the Covid-19 pandemic, to go for pay cuts and employee termination, The Hindu BusinessLine reported based on a survey conducted by the Centre for Indian Migrant Studies (CIMS). The survey revealed that 397 individuals (about 12%) reported wage theft or denial of salary. Of this, the majority of the workers were from the construction sector, followed by manufacturing, transportation, domestic work, retail and medical.

Remittance loss

The loss of remittances on account of these wage theft incidents is a major concern as they make up more than a quarter of Kerala’s GDP. Quoting Kerala State Planning Board, the report said currently 2.4 million non-resident Keralites send as much as $15 billion annually to their homes.

The household consumption of remittance is a major foundation pillar of Kerala economy, which is why large number of migrant workers returning empty handed is an alarming situation.

Legal measures

The survey also showed that only nine respondents among 397 were aware of the legal measures they could avail to claim unpaid dues and wages. Also, many migrant workers were afraid to report and take a legal action as it might hurt their chances of getting a job abroad in the future.

It also recommended that India should ratify international conventions on labour standards and protection of migrant workers to ensure the welfare of all migrants, and also sign bilateral agreements with destination countries to address the issue of unpaid wages and other benefits. This includes negotiation of labour laws in countries such as Saudi Arabia and Kuwait which denies opportunity for legal options for a period of one year.