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Artikel

13 Jun 2022

Autor:
Peter Bengtsen, The Diplomat

The Vietnamese Debt Bondage Gamble

Vietnamese migrants face record-high recruitment fees. They risk debt bondage while paying off huge debts to recruiters, working jobs at foreign employers they cannot afford to lose. Many work for suppliers of major Western brands, but we rarely hear about Vietnamese migrant workers’ plights in serving global supply chains. 

Some work in Taiwan at suppliers of European multinationals Continental, Bosch, Hella, DSM, and North American Fortune 500 firms Dupont, Visteon, and Magna. Some work in Japan at Toyota Group suppliers, while others build a factory in Europe for a supplier of VW and until recently Renault.

Twenty Vietnamese workers were interviewed over the course of half a year in the writing of this story. Another nine shared info about recruitment practices and working conditions. None of the 29 workers had their recruitment fees reimbursed. All worker names mentioned in this piece have been changed for their safety. The names of the manufacturing companies at which they work have also been anonymized to protect the workers.

In this story, you take the role of Minh, a fictional character based on our interviewees’ testimonies. All other workers mentioned are real...

When it was told about our interviewee testimonies, Bosch found no problems despite its commitment to ethical recruitment. But the company said it “has taken your inquiry as an opportunity to further look into the matter and has asked the supplier to clarify the facts. Based on this exchange, our purchasing department currently has no knowledge of deviations from our requirements.”

Continental and Hella, on the other hand, said they would address the concerns raised and take further steps if necessary, which according to Continental could include “improvement measures or to terminate the business relationship.” ...

Magna did not confirm whether it commits to ethical recruitment. Visteon did not reply to The Diplomat’s queries at all...

Niagara Bottling, a major U.S. bottled water manufacturer and supplier to Walmart (which has committed to zero-fee recruitment) and Costco, said “we are taking immediate action, including coordinating an audit of [Manufacturer A]’s Taiwan facility. We may take further action, including suspending further purchases from this supplier, depending on the outcome of that audit.” Niagara makes billions of bottles annually from raw plastic by its biggest foreign supplier Manufacturer A and others.

DSM, a Dutch multinational renowned for its sustainability, said that it does not accept that workers pay for jobs at its suppliers, so it is now “working with [Manufacturer A] to ensure that they are compliant, including how they engage with others to ensure the standards that DSM expects are met throughout the value chain.” Dupont said it will “initiate a formal investigation into the claims.” ...

In Japan, Toyota Motor Corporation said it covers all recruitment costs incurred by its own trainees and that it expects suppliers “do not exploit employees with high recruitment fees and other costs that are considered unreasonable by international norms.” Toyota did not comment on the fees paid by trainees at Manufacturers C and D, nor whether it would take any action.

In Europe, Renault said in late 2021 that it “will not increase our exposure with [Manufacturer E] if these facts are confirmed.” In spring 2022, Renault said that it does not source from the supplier anymore. VW said that the specific Serbian factory under construction, owned by Chinese Manufacturer E, currently does not supply to VW.

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