This regulation, sometimes called the “no-fee rule,” prevents employers from shifting the prices of recruitment onto potential staff. This observe, as soon as commonplace, usually positioned undue monetary burdens on job seekers, notably these in susceptible positions or in search of lower-paying roles. For instance, a global employee may be charged exorbitant charges by a recruiter to safe a visa and employment, successfully indenturing them to the employer.
Defending employees from exploitation is central to this coverage. It promotes truthful labor practices by guaranteeing equal entry to employment alternatives, no matter a person’s monetary assets. Traditionally, recruitment charges have been a instrument for coercion and exploitation, trapping people in undesirable work preparations. By eliminating these charges, the regulation strengthens employee protections and promotes a extra equitable labor market. This additionally has the additional benefit of encouraging larger transparency within the recruitment course of.