Pakistan Moves to Digitalize Overseas Employment Payments and Crack Down on Exploitation

The government has admitted that Pakistan’s emigration system still suffers from major loopholes, leaving thousands of aspiring workers vulnerable to exploitation. Outdated laws allow Overseas Employment Promoters (OEPs) to conduct cash transactions with job seekers, resulting in hidden fees, overcharging, and undocumented payments. Authorities are now pushing digitalization and policy reforms to enhance transparency and protect workers.

In a detailed response to Parliament, the Ministry of Overseas Pakistanis and Human Resource Development acknowledged that the Emigration Ordinance, 1979 and Emigration Rules, 1979 do not require OEPs to use banking channels, enabling cash dealings that often expose workers to fraud. While many OEPs have started adopting digital payments such as bank transfers, JazzCash, and EasyPaisa, there is still no mandatory online payment system, and cash transactions remain common.

To address this, the Bureau of Emigration and Overseas Employment (BE&OE) has initiated policy reforms aimed at enforcing compulsory online transactions between job seekers and OEPs to improve transparency and reduce abuse. Despite digital declarations and verification mechanisms, widespread non disclosure of fees and failure to issue proper receipts persist. Officially, OEPs are allowed to charge Rs15,000 for job placement and Rs6,000 for processing-only cases, yet many continue to exceed these limits.

Mandatory Designated Bank Accounts Under Review

The Ministry confirmed that policy reforms are being reviewed to mandate every OEP to operate through a designated bank account, ensuring that all transactions pass through verifiable financial channels.

Massive Crackdown: Enforcement Drive

A major enforcement campaign under BE&OE has yielded significant results:

• 826 OEP licences cancelled
• 99 licences suspended
• Rs152.48 million forfeited to the state
• 850 cases referred to FIA for criminal action

This crackdown targets illegal subagents, a key source of exploitation, who often charge excessive fees while operating outside the formal regulatory framework.

Awareness Drive for Job Seekers

 

The Ministry said a nationwide campaign is underway to educate emigrants about:

• Their right to written contracts
• Official fee limits
• Mandatory receipts
• Dangers of sub-agents

Awareness materials have been deployed across Protectorate of Emigrants offices and major airports, along with pre-departure briefings and social media outreach.

Digitalization Efforts

The introduction of E-Protector, online Foreign Service Agreement (FSA) verification, and other digital workflows is designed to minimize human contact, curb broker interference, and strengthen traceability.

Ongoing Challenges

The Ministry claims it now has a stronger regulatory and technological framework to protect emigrants. Yet the continued dominance of cash transactions, rampant subagent networks, and widespread overcharging highlight slow enforcement and outdated laws still in need of urgent reform.