IOM-RBA JOINT CONSULTATION

ON PRE-DEPARTURE ORIENTATION

Kuala Lumpur, Malaysia

11 October 2018

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Contents

Background | 4

Overview on existing practices by participants | 6

Discussions 1: Challenges in incorporating PDO & worker

information gaps | 7

Discussion 2: Current PDO modes of delivery – constraints and

contribution to worker information gap | 9

Discussion 3: Good practices and potential solutions | 11

Benefits of Ethical Recruiting/ Conducting PDO | 14

Steps Moving Forward | 15

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RBA/RLI The Responsible Business Alliance (RBA) is the world's largest industry coalition dedicated to corporate social responsibility in global supply chains. The Responsible Labor Initiative (RLI) is a multi-industry, multi-stakeholder initiative by RBA focused on ensuring that the rights of workers vulnerable to forced labour in global supply chains are consistently respected and promoted.

IOM/CREST The International Organization for Migration (IOM) – the UN Migration Agency is the leading inter-governmental organisation in the field of migration and works and is dedicated to promoting humane and orderly migration for the benefit of all. IOM’s Corporate Responsibility in Eliminating Slavery and Trafficking (CREST) programme is designed to help companies and their suppliers uphold the labour and human rights of workers, particularly migrant workers in their operations and supply chains.

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BACKGROUND

Migrant workers, in particular those who are lower-skilled, are highly vulnerable to poor working

conditions, abuse and exploitation. Not only do they face difficulty and adjustment period of variable

duration when they move to a country where cultures, traditions and practices are different from their

own, they may find themselves in situations of contract substitution, debt-bondage, denied access to

fundamental human rights as well as being ill-treated, abused, controlled and trafficked into varying and

multiple forms of exploitation.

The risk of deceptive recruitment is an indicator for forced labour. In mitigating that, pre-departure

orientation (PDO) is recognised as an important step in safe migration processes. Access to information

across all stages of the migration cycle (from the pre-migration to post-arrival), with emphasis on

transparency of job terms and conditions, is key to maximising benefits to migrant workers and

employers. Ideally, pre-departure information should provide prospective workers with information,

delivered in a gender sensitive manner, in workers’ native language, about living and working conditions

(and dormitory rules where applicable), contract terms, legal rights and responsibilities, human and labour

rights, awareness and soft skills to better adapt to working aboard.

Most governments in the key countries of origin in the region recognise the risks of deceptive recruitment

and have therefore put in place regulations for PDO. However, it can be challenging for governments to

provide information that is specific to destination countries, industry sectors and specific workplace

conditions. Therefore, employers are encouraged to support the implementation of PDOs and they would

have the necessary information which would be relevant to their employees.

Incorporating pre-departure orientation training into company recruitment practices helps to provide

reassurance that workers are making informed and genuine choices about their migration, are better

prepared for specific job requirements and better position a company’s conformance to ethical

recruitment models. Companies further benefit from pre-departure orientation by ensuring a more

productive and stable workforce due to an informed workforce with realistic expectation set by the

orientation. Additionally, access to remediation due to exploitative recruitment procedures is more likely

to be reported due to workers having increased awareness of, and ability to uphold, their responsibilities

and rights.

Overall, effective pre-departure orientation leads to a reduction of vulnerabilities in the supply chain

whilst maximising migration gains for all parties involved.

Current challenges exist however. For employers, delivery of pre-departure orientation and appropriate

support in countries of origin remain limited. For workers, access to accurate, job-specific information is

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difficult to find with information gaps on employment realities are common. Challenges expand past the

content and access to Pre-Departure Orientation training. Pre-departure information is often not

delivered in a rights-based approach which if occurs, positions workers ill-equipped to raise concerns on

unethical recruitment practices or exercise their rights once in the workplace.

To further explore and examine the challenges in incorporating tested and effective pre-departure

orientation into recruitment processes, IOM and RBA facilitated a roundtable discussion on 11 October

2018 in Kuala Lumpur, Malaysia. Based on experience of Responsible Business Alliance (RBA) and

Responsible Labor Initiative (RLI) members and suppliers, the roundtable examined and identified key

information gaps for migrant workers. The result is to better inform the review of existing pre-departure

orientation materials/curriculum to address identified key issues pertaining to labour migration to

Malaysia.

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OVERVIEW ON EXISTING PRACTICES BY PARTICIPANTS

A total of 16 representatives from 12 RLI member companies and suppliers from the electronic sector,

including one representative from the palm oil sector participated in the interactive consultation session.

During the registration process, participants completed a short questionnaire that provided an indication

on the commonalities and variances of PDO deliveries among the group.

From the responses of the questionnaire, 9 out of 10 companies indicated that they conduct PDO for their foreign migrant workers recruited to work in Malaysia. The PDO is largely conducted by the employer themselves (47 per cent) – usually by representatives from Human Resource department or by the employer together with the labour agents (35 per cent) while the remaining 18 per cent relied solely on their labour agents. As for the duration of the PDO, more than half (53 per cent) specified it takes 2 to 3 hours while close to a third (29 per cent) said that their PDO takes a full 8-hour day. There were a few (18 per cent) that delivers their PDO in half-a-day (4 hours). The majority of companies (47 per cent) mentioned that workers will depart from the country of origin to their workplaces in the country of destination within 3 days after attending PDO while about a third (29 per cent) said their workers will depart in two weeks. A small number of companies (12 per cent) reported that their workers only depart a month after attending the PDO.

Yes89%

No11%

Is PDO organized for the foreign migrant workers recruited to

work in your facility(ies)?

Employer 47% Employer

with labour agent 35%

Labour agent 18%

PDO is conducted by

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DISCUSSION 1: CHALLENGES IN INCORPORATING PDO & WORKER INFORMATION GAPS

Malaysia is one of two major destinations in the ASEAN region for migrant workers with Indonesia being

the leading origin country (728,870) according to data provided by the Ministry of Home Affairs in June

2017. This is followed by Nepal (405,898), Bangladesh (221,089), Myanmar (127,705), Indian (114,455)

and Pakistan (59, 281). The remaining numbers which are smaller are from the Philippines (56,153),

Vietnam (29,039) China (15,399), Thailand (12,603), Sri Lanka (5,964), Cambodia (5,103) and Laos (39).

Context as shared by participants

In 2005, the Malaysian government introduced the practice of outsourcing recruitment agencies. This

practice was discontinued when Malaysia was downgraded to Tier 3 on the 2009 Trafficking in Person’s

(TiP) List. During that period, employers found that they were unable to interview the potential employees

themselves because of the government’s restriction on direct recruitment by the employers and instead,

mandated the use of outsourcing agencies for the recruitment of migrant workers. The initiative also led

to the forming of outsourcing syndicates who monopolised the industry which in turn led to abusive

practices. As a result, promises made to workers by some of these agencies could not be delivered by the

companies. Further, amounts paid to the outsourcing agencies were often not passed on to the workers.

Many workers who therefore arrived at the destination did not have the necessary knowledge of the

employers and industries required. Information given to the workers by some agents was misleading

particularly on the salary and duration of the overtime, and workers became unhappy and demoralised

once they were aware of the actual situation.

Industry standards prevail as opposed to best practice

Today, employers face new challenges. The recruitment agencies serve many industries and as such, cater

different PDO standards to different industries. Typically, the PDOs are not developed and delivered

according to higher standards. Through programmatic activities under the RLI as well as efforts of other

similar organizations, there is more ethical recruitment across the industries, but companies are still

unable to find any agency capable of upholding the highest standards for all industries. Some customers

request that their own supply chain code requirements being incorporated into the PDO which leads to

an information overload for the workers. Workers often come from different backgrounds, cultures and

levels of literacy. They are usually not accustomed to classroom-style trainings. At the end of the PDO,

companies are sometimes unsure if the PDO is effective.

Smaller companies face challenges related to resource intensity of direct hiring

While it is feasible for larger companies to conduct direct recruiting and hiring, this is difficult for the

smaller companies. A participant gave an example of 10,000 applicants coming for the interviews at each

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session. Smaller companies have found that it is hardly feasible for their human resource teams to deliver

PDOs for larger groups of workers before their departure. The exercise was too resource intensive for the

companies to individually interview each applicant; direct recruitment takes a toll on those involved.

Recruitment is a competitive business

Furthermore, there is competition between the industries when it comes to the recruitment of workers.

For example, in the palm oil industry, there are different standards to be adhered to when it comes to

recruitment. Different buyers have different standards and on top of that, in order to be certified for

instance by the Roundtable on Sustainable Palm Oil (RSPO), there are also separate requirements that

must be complied with. Instead, recruitment agencies move to a different industry when requirements

are too stringent. Currently, two sectors where workers appear to be highly vulnerable to exploitation are

the construction and service industries due to the different level of recruitment standards.

Mismatch of expectations

Challenges also come in where there are government-to-government agreements and companies have

found that in these scenarios, there is often a mismatch of expectations. This occurs when the information

given to the workers by the recruitment agents prior to their employment is inaccurate. Common issues

include the amount of salary, working hours and overtime. In these circumstances, migrant workers agree

to employment believing that they would be given a certain amount of salary and working hours when in

fact, having arrived at the country of destination, they may find that the previously imparted information

was in fact, misleading.

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DISCUSSION 2: CURRENT PDO MODES OF DELIVERY: CONSTRAINTS AND

CONTRIBUTION TO WORKER INFORMATION GAP

Employers have role to play in PDO

The consensus between the participant companies was that employers should play a role when it comes

to PDO. In this regard, the majority of the participants are members of RBA who adhere to RBA’s Code of

Conduct. It is significant to note that the RBA Code of Conduct is based on international standards as

opposed to national laws in countries of origin or destination. As such, it is imperative that RBA members

adequately communicate these recruitment and job terms and condition to the applicants and selected

workers.

Generally, PDOs were conducted either by the company, recruitment agencies or jointly, usually at the

offices of the agencies or hotels. Certain companies shared that they assigned both the conduct of the

pre-employment process and the PDO to the same person as this helps build trust with the workers. The

pre-employment process is carried out before any employment is confirmed to enable the workers to

make an informed decision whether he wants to work for a certain employer. It is crucial that workers are

given a choice and the pre-employment process facilitates this by providing the workers with basic

information regarding the employment and employer. Significantly, as the pre-employment process is

conducted before the contract of employment is signed, the migrant still can say no. PDOs, on the other

hand, have a different focus and content. PDOs conducted by companies include the following content:

• a “Know Malaysia” session followed by a company overview i.e. what it produces, pictures of the production line, benefits, insurance, disciplinary procedure (the do’s and don’ts);

• taking the workers through the employment contract, line by line;

• emphasising the zero-fee policy, no retention of passport or education certificates;

• a video of worker testimonial in the native language “A day in the life of a worker.”;

• information on the hostels and transportation from the hostels to the factories;

• work schedule (how many hours, how many days a week, overtime);

• Video of the state (e.g. Penang) where the worker will be placed;

• RBA’s code of conduct

• freedom of movement for the workers;

• minimum age;

• health and safety;

• engagement activities with the workers;

• important contacts including WhatsApp numbers and email addresses;

• emergency contact numbers for public services;

• hotline numbers;

• grievance mechanism;

• interviews with the workers and finding out if the workers have paid any recruitment fee;

• a question and answer session.

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Companies also stated that it was important to be upfront with the worker from the beginning for

example, the amount of overtime, minimum wage and deduction of salaries for the insurance scheme.

The sizes for the PDOs range from between 30 to 200 workers and are often conducted over as little as

three hours to a full day. Most companies gave their presentations through slides but there were also

companies which gave video presentations, mainly of the company operations and the country of

destination.

Companies who conducted PDOs also regularly reviewed the syllabus of their PDOs, from twice a year to

a review being conducted after every PDO session. The review is mainly conducted by the Human

Resource department together with production employees who are familiar with the operations on the

ground.

Pre-employment briefings are essential and related to PDO

A participant was of the view that pre-employment processes are more important than PDOs as these

processes enable the worker to make a fully informed decision as to whether they want to work for the

company. During the pre-employment process, a full presentation is given by the company and the

workers are then given a choice as to whether they want to proceed to the interviews. The company found

that the level of comprehension of the language has improved tremendously compared to ten years ago

and now employees ask more relevant questions relating to bonuses, salary increments, etc. The company

also gives the workers two copies of the employment contract for their review. Emphasis was placed on

reliable recruitment agencies in countries of origin, including more long-standing relationships with

recruitment agencies based on trust-building and accurate reporting.

In-person briefings remain the most effective

In the Philippines, online pre-employment counselling is often conducted. As workers come from rural

areas this allow for better access to information. However, this method has been found to be ineffective.

Due to computer literacy rates, some migrants have their family members complete the online training

and therefore the aspirant migrant enters the next stage of the recruitment process without vital and

necessary information required.

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DISCUSSION 3: CURRENT GOOD PRACTICES AND POTENTIAL SOLUTIONS

Timing of PDO is important

The consensus was that the PDO should be conducted before the employment contract is signed. A

participant emphasised the importance of the pre-employment process and how due-diligence of the

recruitment agencies is crucial before any appointment of the recruitment agencies. At the minimum,

PDO should be conducted two to three days before departure and signing of the employment contract to

give the worker enough time to consider and review the employment contract. A participant shared the

following four stages of PDO:

• Stage 1: Due diligence with the recruitment service provider;

• Stage 2: Selection/ Pre-recruitment process i.e. advertisements in the newspapers with an emphasis

on “no recruitment fee” policy;

• Stage 3: Orientation by the direct labour management team where information is delivered to the

workers. This ensures a matching of expectations.

• Stage 4: Before the actual signing of the employment contract, there is another orientation session.

There was a company who brought along senior migrant workers who had been with the company for a

long period to the PDOs. The experience sharing by the senior migrant worker as an “ambassador of the

company” and the ability of the senior workers to address the prospective workers in their native language

contributed toward trust and confidence building of the workers. Another company screened a video of

a worker’s testimonial in the native language, “A day in the life of a worker”. The video consisted of raw

footage taken by the worker himself as he progressed through a working day, from his dormitory to his

workplace.

One company shared how their agents provided transportation from the point of origin as most workers

often live in rural areas. PDOs are conducted close to the time of departure to ensure that there is no

document manipulation and to minimise “accommodation fees” for the migrant workers. A company

shared how family members of the workers are also invited to participate in the PDO. The company found

that the PDO reassured the family members of the workers’ wellbeing and safety in a foreign place of

employment.

Companies also hold training of trainers to encourage cross-learning of different experiences between the

trainers and a more standardised approach. Training is also held to ensure that trainers are specifically

prepared to address the needs and culture of the countries of origin. Companies found that the holding

of Q&A sessions during the PDOs was very helpful and gave them insight as to gaps in their PDOs.

Companies also gave their workers a checklist of documents which they needed in the country of

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destination. Finally, a company proposed giving certificates of attendance for the completion of the PDO

to motivate the workers.

A company which was unable to conduct its own PDO shared that it instead conducted individual one-on-

one Skype verification at the agent’s office where the workers are then interviewed by the company.

There were concerns that workers would not be free to speak during the Skype interviews as often the

agents are monitoring the calls. Participants also expressed a willingness to use trusted (certified) third

parties in countries of origin to conduct the PDO and common inductions at a possible regional centre.

Building trust and confidence through personal relationships

Once the workers have arrived at the airport, companies preferred having the same employee who

conducted the PDO also meet the workers at the airport as they have found that familiar faces receiving

the workers builds trust and confidence. Companies also proposed using signage or uniforms to make it

easier for the workers to recognise representatives of the companies at the airport. Another company

provided the workers with meals and a cash advance when they arrived as many of them do not yet have

the local currency.

There were instances where the workers who arrived subsequently failed the FOMEMA1-conducted

medical tests. The company in this scenario reimbursed the worker for any costs borne prior to the

rejection. For workers who successfully passed the FOMEMA tests, the company made sure that no

documents belonging to the workers were retained by the agents and required the workers to confirm

this by way of declarations signed by the workers at the country of origin.

Verification with the workers is important to minimise the risk of exploitative practices

The same declaration must be signed again post arrival in the country of destination and this verification

is done every three months. The company also conducted verification with family members of the workers

to ensure that post arrival, in the country of destination, recruitment agencies do not approach the family

members to ask for fees. If there are such complaints, the company investigates and terminates the

appointment of these recruitment agencies. The company also reports the same to the embassies

representing the countries of origin.

At the work sites, local inductions are held for the workers. Companies also provided the workers with an

organization chart to help with the identification of staff to the workers. One company implemented an

integrated mobile and web-based system designed to instantly connect management to front-line

1 FOMEMA Sdn. Bhd. (“FOMEMA”) is the concession company appointed by the Government of Malaysia to manage, monitor

and supervise a mandatory comprehensive health and medical screening programme for all foreign workers employed in the country, under Section 8, Subsection 3 (b), and Immigration Act 1959 (Act 155).

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workers with ease to improve worker experience. This pilot project has been successful and the company

has received good feedback from the workers who raised a lot of questions and received clarification on

working issues. This initiative helped build a better relationship between the company and the workers.

For support outside the workplace, workers are provided with contact details of key company officers

who were available 24/7, 365 days a year. A company also held monthly town halls with workers to

provide a platform for its workers who had issues to raise. The company also arranged the

accommodation in a way which enabled workers to live with other workers who came from the same

country to foster a sense of community.

Workers are also provided with safe lockable storage which are accessible by workers themselves at all

times to keep their personal and travel documents.

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BENEFITS OF ETHICAL RECRUITING / CONDUCTING PDO

Participants found that PDO builds the confidence and comfort level of the employees who in turn feel a

sense that that “this is the employer I want to be with” and “this is the right company for me.” The practice

of PDO was also a way in which the companies were able to build their reputation in the countries of

origin. Further, the companies which conducted their own PDOs felt that there is a level of quality

assurance of the content being delivered to the employees. By asserting more control over the content

and style of delivery, and being better positioned to adapt the PDO as required, companies are better

positioned to manage expectations to make sure they reflect the reality of the workplace. Effective PDO

ensures workers are able to make informed decisions about their migration to another country and work

options present. It empowers a migrant to understand their rights and obligations including the right to

work free of exploitative practices.

It is also an effective way of enhancing oversight on recruitment service providers in their process to

minimise the risk of debt bondage, providing them with opportunities to conduct verification that no

unauthorised fees have been paid by the workers prior to departure. In this regard, PDO then becomes

part of an on-going due diligence process conducted by the employer.

Companies found that when effective PDOs were conducted, over time the retention rate was higher, and

therefore the number of quality and skilled workers in the workforce was higher. As a result, overall

productivity increased. The companies who conducted PDOs also found that it was a worthwhile

investment as it helped to prevent premature return (which are costly to the company). Lastly PDO as a

mitigation tactic included the reduction in the overall presence and related costs for conflict management

and dispute resolution.

Overall companies reflected that PDO increased costs in the short term, but the longer-term gains

provided ample evidence to show it is a worthwhile investment. That said, it was acknowledged that best

practices needed to be better captured and adopted. And whilst this is possible amongst RBA partners,

some challenges, as listed in this document, will require a more systematic approach. This includes

interventions by Governments to bring about change to ensure a proper environment whereby the

standardization of effective PDO training can occur.

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STEPS MOVING FORWARD

1. Participants expressed an interest in a collective approach to work towards a standard for PDO

with support from RBA and IOM where the approach should be sustainable and cost-effective.

2. RBA and IOM to hold consultations with stakeholders in the countries of origin, including

recruitment agencies, civil society, workers and their families and the Governments.

3. The formation of a working group focusing on strengthening PDOs was proposed and

participants considered it positively, including some that has expressed interest to be part of

the group to provide ongoing advice to material development and guidance on possible

mainstreaming of a scalable PDO that can be delivered effectively in a consistent and

sustainable manner.

4. The working group, with the support of RBA and IOM to develop a guideline on PDO for

employers and recruiters.

5. The guideline can be used to standardise modules and content of PDO, with the use of

technology to be included where it can facilitate more effective PDO.

6. Employers together with RBA and IOM to conduct training of trainers, with focus on delivery

methodology.

7. Employers together with RBA and IOM to conduct feasibility assessments to develop

coordination mechanism in relevant countries of origin with the potential support of

independent service providers.

8. Stakeholders to hold open dialogue with the relevant Governments to align with existing PDO

mechanism.