Under the Employment Ordinance and the Employment Agency Regulations in Hong Kong, an employment agency can only charge 10% of an MDW’s first month salary. The employment agency can only charge the MDW after she has started working in the employer’s home as well.
Some employment agencies in Hong Kong will work with an overseas recruitment agency to overcharge MDWs who are going to Hong Kong. Usually, the agency will try to force an MDW to take a loan and repay money to the agency. Other times, the agency will make up costs that are not real costs – such as “processing” or “translation” or “lodging” costs to get the MDW to pay more money.
MDWs should also know that employers are not allowed to deduct their salary to pay the agency fee or loan. If an MDW’s employer or agency tries to do this, the MDW may consider reporting the agency and employer (see below).
Photo by Karolina Grabowska
Overcharging by Employment Agency in Indonesia
According to the Indonesian Migrant Workers Administration’s Regulation No. 9 of 2020 (Peraturan BP2MI nomor 9 tahun 2020), any Indonesian MDW who is going to Hong Kong to work does not have to pay her own money for:
- Departure ticket to Hong Kong
- Flight return ticket to Indonesia
- Work visa
- Contract notarization fee
- Pre-employment training fee
- Work competence certificate fee
- Employment agency fee
- Passport replacement fee
- Police record fee
- Migrant Workers’ Social Security Fees
- Physical and psychological health check costs in Indonesia
- Additional health check costs in the destination country
- Domestic travel within Indonesia
In Indonesia, the same law also stops employment agencies from forcing MDWs to take a loan to pay any fees listed above. If you are an Indonesian MDW and your agency tries to get you to pay a fee for something listed above, you can report the agency to the Indonesian Consulate. It is important to go to the Indonesian Consulate if the agency is based in Indonesia, as the Hong Kong Employment Agency Administration does not handle Indonesian agencies.
Overcharging by Employment Agency in the Philippines
Under Philippines law, any employment agencies in the Philippines are not allowed to charge MDWs with placement fees.
Some employment agencies might try to get money from MDWs but charging unreasonably high Technical Education Skills Development Authority (‘TESDA’) training fees, medical fees, lodging fees. Be careful before paying any of these fees. If you have concerns, check with a legal advisor or NGO about the fees.
Helpful Tips
- If your agency is based in Hong Kong and they are overcharging you, you may report the agency through the Labour Department. You may wish to seek help from the Labour Department, legal advisor or NGO to help you make the report.
- Do not pay money to an agency or person if you don’t know what the fee is for or if it is correct to charge the fee. You may need to remind your employer or the agency that you can only be charged 10% of your first monthly salary.
