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In Taiwan, industry watchdogs say the issue is pervasive — the result of limited regulatory protections and a heavy reliance on migrant labour, especially for low-paying industrial jobs like textile manufacturing.

“The placement fee in Taiwan is notorious,” said Jing Ru Wu, a researcher at the Taiwan International Workers’ Association, a Taiwanese NGO focused on migrant workers’ rights.

Transparentem’s report found migrant workers at textile mills in the country had paid labour brokers as much as $6,000 to secure work — among the highest recruitment fees the nonprofit has uncovered over the course of multiple investigations in several countries. The investigation covered nine suppliers with links to nearly 50 global brands, including major sportswear companies with commitments to end the practice.

Some workers reported paying additional deposits of between $500 and $1,000, down payments interviewees described as a means of preventing their “escape.” The payments didn’t stop after landing a contract, either. Workers said they were required to pay agents monthly service fees of $50 to $60, the equivalent of two full month’s wages over the course of a three-year contract. At some factories, workers said their movements were restricted and their passports taken away. Complaints about poor labour conditions or efforts to organise were met with threats of repatriation, they said.

There were also signs that the years of work by Patagonia and others had made a real difference. Most of the suppliers linked to Patagonia, Nike, Lululemon, Adidas and Puma had introduced “no fee” policies since 2020, seeming to largely end the practice for new hires, the investigation found.

But there still appear to be gaps in the system. Older employees at these factories said they had not been reimbursed for past expenses. Workers at one factory with links to all five brands said they still faced recruitment fees even after a commitment to end them was introduced. The sportswear giants also all still had connections to suppliers with no policies on recruitment fees in place at all.

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