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Article

5 Jun 2018

Author:
Martin Saldamando, Gulf News

Commentary: Blockchain-based platforms can mitigate the risks of illicit labour recruitment in the Gulf

"Using blockchain to stamp out labour exploitation", 31 May 2018

... There is enough evidence that illegal recruitment practices by agents and corrupt officials in Asian countries steal much of the money these workers earn long before it ever reaches their families. But this could end if financial technology (Fintech) companies in the UAE and Gulf work on preventing corruption in the recruitment of migrant workers from countries like India, Pakistan and the Philippines... [M]igrant workers could register for jobs on a blockchain-based distributed computing platform, managed by a network of labour-welfare groups acting as nodes on the network. When jobs for migrant workers are offered by employers — for example, work with construction groups in the Gulf — those “transactions” can be time-stamped on a distributed ledger, radically improving the transparency of the recruitment process. The selection of candidates for employment could be made by a completely random, mathematically-based selection process that is transparently open to all on the ledger. From a pool of candidates wherein the skills are almost equal (ideal for labour which is the class of workers who are most exploited), one would be selected at random (like a lottery). After each selection, the pool would be dissolved and registration opened again for the next round...