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Employer Pays Principle adoption doubles among electronics manufacturers

18 June 2026 5 min read
Electronics assembly line in a Southeast Asian factory

More than 200 electronics suppliers have now repaid recruitment fees to migrant workers, with reimbursements exceeding $120 million since 2020.

The Responsible Business Alliance reports that adoption of the Employer Pays Principle has doubled in two years among electronics manufacturers in Malaysia, Taiwan and Thailand, with cumulative fee repayments to migrant workers passing $120 million.

Analysts credit customs enforcement and buyer contract clauses, noting that suppliers now treat unreimbursed recruitment fees as a commercial risk rather than a reputational one.

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