Aged care sanction exposes sponsor and recruitment fee risk

The Australian Anti-Slavery Commissioner, Chris Evans, welcomes action by the Australian Border Force (ABF) against a New South Wales aged care provider found to charged nearly $120,000 in unlawful sponsorship-related costs to 13 migrant workers.

The ABF investigation found two of the affected workers had personally paid $17,449 and $19,847 toward nomination and visa costs. The provider has since repaid all 13 workers in full and is now subject to a six-month bar on new sponsorship nominations.

Charging workers sponsorship or recruitment related costs can create the conditions for debt bondage, which is a known indicator of forced labour. Whilst there is no suggestion of debt bondage in this case, the recruitment fees charged by overseas agents or local sponsors is a risk the aged care sector should be taking seriously.

"This is a good example of Home Affairs using its compliance powers effectively, and the outcomes – full repayment and a real sanction – is exactly the kind of accountability we want to see," the Commissioner said.

"But it also raises a question the aged care sector needs to answer honestly: is this an isolated case, or a symptom of a wider practice?"

Aged care has not traditionally featured among the sectors most associated with migrant worker exploitation in Australia – agriculture, horticulture, meat processing and hospitality have drawn more attention to date. This case suggests similar risk factors – visa sponsorship dependency and cost-recovery practices – can occur in care settings too.

The Commissioner is calling for a broader compliance and risk review across the aged care sector, given its heavy and growing reliance on sponsored migrant workers to meet workforce shortages.

"I'd strongly encourage the sector, and the Department of Home Affairs, to look closely at whether this is a one-off or a pattern of exploitation that needs investigating further".