Harassment of Migrant Domestic Workers' Employers by Moneylenders

Mr Mark Lee asked the Minister for Home Affairs (a) whether there has been an increase in the number of employers of migrant domestic workers facing harassment from moneylenders, arising from love scams involving migrant domestic workers and debts incurred from such scams; and (b) what measures have been implemented to shield employers from such harassment by moneylenders.

There has been an increase in the number of reports of harassment by unlicensed moneylenders, which involved migrant domestic workers as borrowers. However, the Police do not track such reports by whether the employer is a party who faced harassment.

The Ministry of Home Affairs takes a firm stance against unlicensed moneylending activities. Under the Moneylenders Act, unlicensed moneylenders who harass their borrowers or any other person in connection with a loan to the borrower could face a fine of at least $5,000 and up to $50,000, or imprisonment of up to five years, or both. The penalties are higher for repeat offenders. In 2023, the Police conducted 12 major enforcement operations against unlicensed moneylenders and arrested more than 850 subjects who were believed to be involved in loan-sharking activities.

Aside from enforcement efforts, the Ministry of Manpower works with the Police to educate migrant domestic workers about the potential consequences of borrowing from unlicensed moneylenders, which could include revocation of their work pass and being barred from future employment. They are also educated on financial management practices they can adopt, such as consulting their employers, employment agencies or non-governmental organisations on any financial difficulties they are facing. These education efforts are conducted through various channels, such as the Settling-in Programme, which all first-time migrant domestic workers must attend when they arrive in Singapore.