A Cultural Exchange Program or a Ticket to Sweatshop Labor?
A Japanese woman’s poor working conditions as a Waikiki pastry chef illustrate the dark side of a visa program that brings thousands of temporary foreign workers to Hawaii each year.
It didn鈥檛 take long for the 30-year-old Japanese pastry chef to realize that she was getting the raw end of the deal.
She had arrived in Hawaii only days before, lured by a promise of pastry training as part of a cultural exchange program run by the U.S. State Department. The terms of her stay, under a visa known as J-1, were to spend the next 18 months working in the kitchen of a Waikiki restaurant 鈥 six days a week on an 8-hour shift beginning at 6:30 a.m.
But she found herself toiling inside the kitchen in a shift that began at 5:30 a.m. and stretched to 12 hours 鈥 without any breaks or overtime pay.
When she complained, she said no one lent a sympathetic ear.
Initially, she said she was told that none of the restaurants in Hawaii offered any breaks. And, if she were to work on a shorter shift, her salary would have to be reduced accordingly.
Unsatisfied, she went to her American “sponsor” organization and its Japanese contractors that had matched her up with the restaurant, but her pleas for their intervention were met with threats that her visa could be taken away.
Soon, it dawned on her that she faced a Faustian choice: endure the grueling conditions at the restaurant or risk being deported for not showing up to work.
鈥淏ecause the J-1 terms are so restrictive, if they stop working for a day, they are out of status and deportable, so the employers hold all of the strings.鈥 鈥 Kathryn Xian, Pacific Alliance to Stop Slavery
鈥淎t the time, I was confused and didn鈥檛 know what to do,鈥 the chef said, recalling her ordeal in 2012. To protect her from reprisals, Civil Beat granted her anonymity and withheld the restaurant鈥檚 name at her request.
The chef鈥檚 story, recounted in an interview conducted in Japanese, provides a rare glimpse into the dark side of the , which was created half a century ago to foster 鈥済lobal understanding鈥 through cultural exchanges but has since blossomed into the source of thriving, multi-million-dollar businesses.
But it鈥檚 virtually impossible to determine just how common these experiences are among about 2,000 J-1 visa-holders in Hawaii.
That鈥檚 in part because the program, as a cultural exchange, isn鈥檛 subject to monitoring by the U.S. Labor Department 鈥 unlike other guest worker programs.
The State Department, for its part, recently established a system to keep track of all complaints it receives, but spokeswoman Susan Pittman told Civil Beat that the tally for the entire program isn鈥檛 readily available, and a public records request must be submitted before the data could be compiled.
Kathryn Xian, founder and executive director of the , says another reason the issue tends to fly under people鈥檚 radar is that the victims often choose to escape their situation by simply returning to their home country.
鈥淲hat鈥檚 difficult about J-1 is that these people usually don鈥檛 seek help,鈥 Xian said. 鈥淏ecause the J-1 terms are so restrictive, if they stop working for a day, they are out of status and deportable, so the employers hold all of the strings.鈥
鈥楴otoriety鈥 and 鈥楧isrepute鈥
Created under the Fulbright-Hays Act of 1961, the J-1 program was designed to give foreign students and young professionals a temporary work experience and expose them to the American way of life 鈥 at no cost to taxpayers.
Each year, hundreds of thousands of people pay upwards of $10,000 in fees and insurance to enter the country under the program and work for four to 18 months. The State Department鈥檚 latest figures show that more than 297,000 J-1 visas were issued in 2012, including 2,021 visas for those heading to work in Hawaii.
But, in recent years, some participants 鈥 and their advocates 鈥 have complained that it鈥檚 being used as a source of cheap, foreign labor with little federal oversight.
The issue grabbed in 2012, when hundreds of J-1 visa-holders working at Hershey鈥檚 packing plant in Pennsylvania staged a raucous protest. About 400 of them were staying in the country for 鈥淪ummer Work Travel,鈥 the biggest of the 14 categories of the J-1 program allowing students of modest means to work in a temporary job as a way of offsetting the costs of their travel to the U.S.
鈥淚n theory, these sponsors are supposed to be helping keep participants safe and avoid exploitations of any kind to take place. But, in reality, a fox is in charge of the hen house.鈥 鈥 Stephen Boykewich, National Guestworker Alliance
They were put to work, often on night shifts, lifting heavy boxes and packing chocolates on Hershey鈥檚 fast-moving production line 鈥 while being paid substantially below the minimum wage after deductions.
The troubling tales of the summer programs were nothing new to officials at the State Department. In 2010, an investigation by the Associated Press uncovered widespread abuse, finding that some students were taking home less than $1 an hour, while others were being forced to work as strippers 鈥 even though the regulations prohibit the students from taking on work that could 鈥渂ring the Department of State into notoriety or disrepute.鈥
In response, the State Department conducted a systematic review of the summer program and eventually acknowledged that its 鈥渨ork component … has too often overshadowed the core cultural component.鈥
The department later issued new rules for the program that significantly reduced the types of jobs the students can perform 鈥 to keep them away from most warehouse, construction, manufacturing and food-processing work. The rules also tightened requirements on the sponsor organizations and their contractors that administer the J-1 program on behalf of the State Department, ensuring that students were matched up with jobs that are appropriate and safe.
Ripe for Exploitation
The changes haven鈥檛 rooted out all the unlawful labor practices in the J-1 program.
Last week, the Labor Department that a Waikiki-based wedding planner called Wave USA Inc. 鈥 aka 鈥 agreed to pay more than $35,000 in restitution to a group of eight Japanese employees, all of whom were here on J-1.
According to the Labor Department, the eight were the company鈥檚 鈥渇ront-line workers鈥 from November 2012 to July 2014 and were paid full-time salaries that varied from $700 to $1,000 a month 鈥 a rate well below the federal minimum wage of $7.25 an hour.
Stephen Boykewich, communications director at the National Guestworker Alliance, which helped organize the Hershey鈥檚 protest in 2012, said the problems persist because of the program鈥檚 flawed setup: The sponsor organizations and their contractors, which are responsible for vetting the hosting companies, are the ones tasked to monitor the working conditions. So, when any problem comes up, they have a vested interest in downplaying it.
鈥淚n theory, these sponsors are supposed to be helping keep participants safe and avoid exploitations of any kind to take place,鈥 Boykewich said. 鈥淏ut, in reality, a fox is in charge of the hen house.鈥
In Hawaii, the issue is compounded by the fact that there are only seven sponsor organizations operating in the islands, and they only place participants into academic institutions 鈥 typically as scholars or physicians.
That means those looking for nonacademic work in Hawaii are forced to find their sponsor organization from the mainland, and this arrangement makes the regular, on-site monitoring of the working conditions a logistical nightmare.
John Egan, a Honolulu immigration attorney who once chaired the Hawaii chapter of the , says the way the system is set up now works to the advantage of unscrupulous employers.
鈥淧art of the problem is that they are bringing in people who don鈥檛 speak good enough English and are not familiar with the legal system and don鈥檛 know what protections are available. So that鈥檚 ripe for exploitation,鈥 Egan said.
鈥楢lleged Bad Acts鈥
The Japanese pastry chef came to Hawaii hoping that her training here would bring her closer to realizing her dream of opening her own bakery.
To make her trip possible, she had to work with layers of contractors in Japan. First, she dealt with a company called Global Associates and its subsidiary, Hawaii Exchange Service. They then put her in touch with their affiliate 鈥 a Japanese company called the 鈥 to help her go through an English proficiency test and work with a California-based sponsor organization called the .
In all, she paid about $8,850 in fees and $1,300 for her medical insurance. And she spent thousands of dollars more to make living arrangements in Hawaii.
By the time she arrived and discovered her restaurant鈥檚 working conditions, her savings account had been tapped out. 鈥淚 felt trapped as I had invested so much time and money to come to work on my J-1 visa,鈥 she wrote in her 2012 affidavit to the U.S. Department of Homeland Security. 鈥淚 did not believe I could go home as I would realistically never have another opportunity to come back to the U.S.鈥
But going back to work for the restaurant wasn鈥檛 much of a choice for her, either. Luckily, a network of friends, victims鈥 advocates and pro bono attorneys came to her rescue and got her in touch with officials at the U.S. State and Labor departments.
鈥淚鈥檓 terrified of running into the restaurant owners. I鈥檓 too scared; I still can鈥檛 walk alone in Waikiki.鈥 鈥 Pastry chef from Japan
This, in turn, triggered a barrage of calls from officials at American Career Opportunity and Global Associates. They called her 鈥 and her mother in Japan 鈥 incessantly, trying to convince her to go back to work at the restaurant. When it became clear that she wasn鈥檛 going back, she said they tried to intimidate her into voluntarily returning to Japan.
Fearing that she鈥檇 be deported, she fled her apartment and went into hiding. At first, she stayed at the house of a married couple she had befriended during her first week in Hawaii. Then, Xian of the Pacific Alliance found her space at a shelter run by a local church.
As far as the chef knows, the investigations at the State and Labor departments are still pending 鈥 more than three years later. Meanwhile, with the help of attorneys, she applied for a T-1 visa, which is set aside for trafficking victims. After about a year, her application was approved, enabling her to stay in the country and start working again.
Ira Kurzban, general counsel for ASSE, says the company wasn’t notified about the case until federal authorities got involved.
鈥淔rom our perspective, we did everything we could possibly do as soon as we learned that there was a problem,鈥 Kurzban said, adding that the State Department 鈥渉as never said鈥 that the company engaged in 鈥渁ny of the alleged bad acts that were claimed to have happened.鈥
Officials from the State and Labor departments declined to comment for this story, citing privacy concerns.
Officials at American Career Opportunity聽did not respond to Civil Beat鈥檚 request for comment. Global Associates and Hawaii Exchange Service could not be reached.
The chef is trying to move past her bitter experience. With Xian鈥檚 help, she managed to recover the fees she had paid for her visa. And, last year, she got a cooking job at the Kahala Mall and has saved enough to move into her own apartment.
But there鈥檚 one thing she still can鈥檛 shake: 鈥淚t鈥檚 been three years now, but, to this day, I鈥檓 terrified of running into the restaurant owners. I鈥檓 too scared; I still can鈥檛 walk alone in Waikiki.鈥
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About the Author
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Rui Kaneya is a reporter for Civil Beat. You can reach him by email at rkaneya@civilbeat.org or follow him on Twitter at .