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Rogue agents warned

Responding to NMP Eunice Olsen's question on how the law protects workers cheated by such agents, MOM said they work alongside VWOs to offer help but did not elaborate further.
From TODAY Online

Agencies who offer rebates can have licences revoked
Tuesday • April 22, 2008

Teo Xuanwei
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IN HIS first outing in Parliament as Acting Manpower Minister, Mr Gan Kim Yong fielded questions about rogue employment agents.

Recent media reports had highlighted an emerging trend of job agents paying employers between $2,000 and $3,000 as a "rebate" for every foreign worker they hire. Some employers then use this money to cover the monthly foreign worker levy.

Mr Gan warned that the Ministry of Manpower (MOM) "does not condone the practice of employment agencies offering incentive payments or rebates". These agencies are "considered to be acting against the interest of the workers" and can have their licences revoked and security deposits forfeited, he added.

Employers who receive rebates could also be "construed as being in breach of the Employment of Foreign Manpower Act" and face a $5,000 fine or six months' jail, or both, if convicted. They will also be barred from hiring foreign workers.

Employers are also "not allowed to recover directly or indirectly the foreign worker levy" from their workers. The MOM will impose new licensing and work permit conditions to make it an offence to offer or receive such payouts, said Mr Gan.

However, Mr Gan left unanswered some parts of the questions filed by his Parliamentary colleagues, such as the one by Mdm Halimah Yacob (MP for Jurong GRC), who wanted to know how many employment agents and employers had been prosecuted for violating these rules. Mr Gan did not give a specific answer except to say that the MOM is taking a very serious view of the matter and "is currently investigating a number of such cases."

The MOM is also working with the Singapore National Employers Federation to warn employers of the consequences of such practices, he said.

To warn foreign workers against unscrupulous agents, the MOM is working with embassies and high commissions in Singapore to disseminate information about accredited employment agencies here, Mr Gan added. Workers will also learn about work permit conditions and the obligations of their employers through guidebooks and when they attend mandatory work safety courses.

In response to Nominated Member of Parliament Eunice Olsen's question on how the law protects workers cheated by rogue agents, Mr Gan said the MOM works with voluntary welfare organisations and Government agencies to "extend a helping hand" to them. He did not elaborate on the kind of help these workers receive.