A New Form of Slavery: Cyber Slavery in Southeast Asia

Author: Esther Annorzie

February 14, 2025

[Image credit: Getty Images via India Today]

Cyber slavery is a growing trend in Southeast Asia especially in Cambodia, Laos, Myanmar, and the Philippines (Franceschini et al., 2023). Scam centers in Southeast Asia are host grounds for modern day slavery operations and various other human rights violations. Victims are kidnapped, abused, and forced to scam other individuals (McNamee et. al, 2024).  These centers are driven by criminal organizations and corrupt businesspeople, using capital (goods, services, and humans) to run complex scam operations to conduct illicit activity (Franceschini et. al, 2023). Scams centers in Southeast Asia are reported to generate billions of US dollars in revenue (United Nations High Commissioner for Human Rights [OHCHR], 2023) and dismantling the system of cyber slavery has proven difficult since there are various intersecting challenges with wide-reaching impacts.

Additionally, misconceptions about cyber slavery shape public policy and support for victims.

Scam centers initially developed within small-scale apartments, villas, and hotels. During the mid- to late 2010s, operations began to shift to large centers hosting multiple companies and thousands of workers (Franceschini et. al, 2024). The city of Sihanoukville in Cambodia became one of the most well-known scam center cities (Franceschini et. al, 2023).

Scam operations in Southeast Asia have strong ties to other high risk or illicit activities. For example, in the Philippines, the online gambling industry has strong ties to the scam industry. In 2016, the Philippine government began to license offshore gambling operators called Philippine Offshore Gambling Operators (POGOs). POGOs are associated with violence, kidnapping and money laundering (Franceschini et. al, 2023). POGOs primarily operate online gambling in the Philippines, though its targets are typically people abroad, especially in China. In Cambodia, Franceschini et al., (2023) learned that both online gambling and scam operations are hosted within a singular center. Furthermore, both gambling and scam operation organizations target neighboring countries and scam sites in areas bordering Thailand and Vietnam.

Online gambling is banned in China, Cambodia, Thailand, and Laos (OHCHR, 2023). Efforts to ban online gambling have caused operations to relocate to other countries. For example, in the 1990s, scam operation centers led by cybercriminal organizations emerged in Taiwan and China. Law enforcement began to crack down on cybercrimes in Taiwan and China during the 2010s, leading these organizations to relocate to Southeast Asia (Franceschini et. al, 2023).

Scam centers tend to have a clear hierarchy.  The scam department is tasked with coordinating and conducting scam activities. At the top rests the head of the company, followed by core managers, team leaders, and the scam operators. Once victims are trained in how to scam, they are sent to different offices resembling cybercafes. These scam centers are often heavily guarded and surrounded by barbed wire over walls to prevent victims from escaping and their documents are taken away by force. Under the threat of physical violence, they are forced to perpetrate scams daily and are punished if they fail to meet targets set by their exploiters (Franceschini, 2024; Podkal & Liu, 2022). Most of these centers include areas found in legitimate companies such as offices, dormitories, entertainment areas, and other amenities. The victims engage in a wide variety of scams including romance scams, crypto fraud, money laundering, and illegal gambling (United Nations High Commissioner for Human Rights [OHCHR], 2023). 

In Franceschini’s and his fellow researchers’ (2023) study from survivors of scam centers in Cambodia, Myanmar, and Laos; it was noted that scammers often earn a commission on each successful fraud, usually a percentage of the total sum. Furthermore, bonuses were available, and the rules were displayed in public areas. As lucrative as these bonuses appear, they hide the true exploitation experienced by victims. Victims had to purchase their own items to continue to live and work, which included food, shelter, water and other utilities from their exploiters (Franceschini et. al., 2023). This keeps victims in a never-ending cycle of debt.

Arrests were made during a police raid on the suspicion of running an online scam syndicate in Batam, Indonesia in 2023 [Image credit: STR/AFP via Getty Images]

Traffickers present themselves as belonging to a legitimate company. They recruit through legal job matching websites, social media and even blatantly kidnapping people on the street (Liu, 2023). It is important to note that victims are also likely to learn about opportunities through their personal relationships (family, friends, and acquaintances). For example, in Franceschini and his fellow researchers (2024) study about survivors (of predominantly Chinese descent), 79.4% of respondents found the scam job through acquaintances. Only 8.8% found the scam job through social media, another 8.8% through employment agencies and the remaining 2.9% through ads on job sites. In addition, 90.3% of victims were not formally interviewed; 90% were advised to hide their job from their families; and an employment contract was signed by only 55.2% of victims. In that same study, it was noted that more educated victims were more likely to have a passport to travel to Southeast Asia through legitimate channels, only to find themselves trapped upon arrival. Less educated and poorer victims had limited options, and most had to take up the services of human traffickers who collaborate with online scam operators.

Victims are recruited in multiple ways. Often, victims were in the midst of finding stable employment. Most jobs offered a generous salary and benefits (Franceschini et. al., 2024). These jobs offered simple responsibilities with minimal qualifications. Salaries were significantly higher than average. Migrant populations and trafficked people are at high risk of being victims of the online scam industry. Most victims are men, though women and children are also victims (OHCHR, 2023). Most are not citizens of the country in which they are committing scam operations. However, in some cases they are citizens (OHCHR, 2023). For example, Philippine Offshore Gambling Operators [POGOs], primarily target Chinese nationals (Franceschini, 2023).

There is a widespread misconception that cyber slavery victims in Southeast Asia are computer literate. Scam operations do not need to rely on tech-savvy, multilingual individuals due to the presence of experienced scammers, training materials for new recruits, artificial intelligence translation, and deepfake tools (Franceschini et. al, 2024). These factors have led to vulnerable populations with limited education and basic language proficiency becoming prime targets. Research has also shown that victims are sometimes well-educated having prior professional jobs or degrees (OHCHR, 2023). In addition, victim profiles are shaped by country of origin. For example, Franceschini and their fellow researchers found that many young, unemployed, Indian IT graduates found themselves trapped in scam centers in Southeast Asia.

The main difference between older systems and modern systems of slavery is the lack of force. According to Liu (2023), everyone is a “neoliberal agent in the logistics chain in this new system” p. 228). Migrant workers sign legal and illegal working contracts, are then sent to a working area, and subsequently exploited (Liu, 2023). One aspect of the old system of slavery remains the same in the modern system – these individuals are dehumanized, and their fundamental human rights are taken away from them.

In Southeast Asia in particular, land borders lacking in security have enabled different kinds of mobility, often through dangerous means (OHCHR, 2023). A significant factor for this is the high cost and difficulty of travel. For example, traffickers have smuggled people into Thailand before moving them over the border to a neighboring State (OHCHR, 2023). It is also very difficult for law enforcement to reach the borderlands of Myanmar and in parts of Cambodia. In addition, there are areas without strong law enforcement regulations” (McNamee et. al, 2024).

Port cities are cities built around a port, serving as a hub for sea or waterway trade and transportation. Liu (2023) argues that port cities function as logical hubs, connecting producers (including human traffickers and other exploiters) to the consumer (including scam operator victims), therefore enabling modern slavery. She argues the Sihanoukville Port in Cambodia and its China-aided Special Economic Zones (SEZ) represents a typical case of legal exemption for cyber slavery in the neoliberal market of the 21st century (p. 216).

Liu (2023) states, “The fastest and easiest way to reduce costs and gain money today is to recruit labor through treacherous methods and use this labor to conduct online scams (p. 228).  This dynamic can be further explained using Karl’s Marx’s theories of capitalism. In Chapter 4 of Karl Marx’s critically acclaimed book Capital, he argues that people purchase commodities with hopes of buying more commodities in the future. He defined this as Commodity-Money-Commodity (C-M-C). Money-Money (M-M) is defined as an individual receiving a loan then paying it back with interest (Felluga, 2002). Marx’s general formula for capitalism is Money-Commodity-Money (M-C-M). This is when an individual buys a commodity to sell it at a higher price. Liu (2023) argues that the logistics of modern slavery no longer follow C-M-C, M-C-M, or M-M. Instead, it follows V-M+. Here, the V represents the Void— “no value” and “violence”. Through the Void, there are no costs. Money/Capital increases without an end in sight. Violence is unrestricted and money can accumulate automatically.

Scam operation centers operate similarly to legitimate companies in the sense that both make profits by enticing and retaining customers, keeping them addicted to offered services (Franceschini et. al, 2023). Furthermore, the researchers argue that scam centers present a “new manifestation of predatory capitalism”—compound capitalism (p. 578). The researchers also conclude that four elements are present in modern scam operation—exceptionality, labor segregation, forceful data extraction, and reliance on desperate workers.

The exceptional aspect of the scam centers is their ability to operate outside of law enforcement. Victims are forced to partake in data extraction which “resonates with more subtle practices enacted as part of surveillance capitalism (Franceschini, et. al, 2024, p. 599)”. Online scam operation centers are characterized by their restriction of movement for workers. To enforce this, workers may be segregated by race or ethnicity. While there were times different groups would interact, racial prejudice, language barriers, and lack of trust would keep people from collaborating. In turn, this leads to minimal worker solidarity. The online scam industry preys on individuals in desperate situations. The lack of employment opportunities for many young people in Southeast Asia and other countries in the Global South has left people desperate for work.

Human rights violations are the norm in scam centers. Often, victims are punished if they struggle to memorize scripts. For example, an interviewee of Franceschini (2023) noted how trainers would check whether recruits were learning what they were supposed to. If not, recruits would be given punishments such as frog jumping or running up and down the stairs several times (Franceschini, 2023, p. 581). Team leaders punished trainees who made poor progress memorizing scripts, forcing them to copy the content of the trainee handbook ten to twenty times (Franceschini, 2023, p. 582). Victims may also be sold to other companies. For example, in Podkul & Liu’s interview a victim learned he was sold multiple times, with the amount he’d have to pay to buy his freedom rising each time (Podkul & Liu, 2022).

Being a victim of forced online scam operations can lead to an array of economic and psychological consequences. Workers are constantly living in fear due to the constant surveillance alongside the threat of physical violence (p. 597). Victims may be reluctant to report their trafficking and/or forced labor experiences. They may fear traffickers or the authorities, feel shame about being deceived, or they may simply want to leave the experience in the past (OHCHR, 2023).  It is also important to note that victims with higher levels of education or who are fluent in English might be more likely to reach out to journalists to share their experience in the scam industry (Franceschini et. al, 2024).

Many scam victims willingly enter the industry due to their interest in a high income and a good life. Because of this, some people argue that these individuals are not victims or in need of help (Franceschini et al., 2023). This argument blames the victim instead of critiquing the power structures that make scam operations and human rights violations possible. Moreover, limited regulation exists in Southeast Asia to protect the rights of users online. Viral platforms such as Facebook, Instagram, Telegram, WhatsApp, and TikTok are highly trusted and can be used to defraud people. Social media apps (such as Telegram) have been used to sell trafficked people to other criminal groups. There has also been a lack of investigation into claims of collusion between the criminal actors behind these scam operations and senior government officials, politicians, local law enforcement and influential businesspersons (OHCHR, 2023).

[Image credit: Getty Images via CNET]

First and foremost, it is important that a human rights approach is applied to handle the significant and growing problem of cyber slavery in Southeast Asia. This involves ensuring that victims are not blamed, demeaned, nor revictimized, punishment to traffickers and other corrupt individuals does not violate fundamental human rights, that proper solutions be created to support victims, and education/awareness campaigns are created to prevent people, especially vulnerable populations from being victimized (OHCHR, 2023). To ensure that vulnerable populations are educated about job scams and forced criminality, Franceschini et. al. (2024) recommends that trade unions and civil society organizations in countries of origin conduct targeted, safe migration training for travelers. Additionally, campaigns can be created for policy makers and the public so that people have a full understanding of cyber slavery and to counter victim blaming. This would make it easier for survivors to reintegrate in local society once they are back, rehabilitating them from further social isolation (Franceschini et. al, 2024). 

The United Nations Human Rights Office of the High Commissioner recommends that states and other relevant actors take action to ensure the human rights of people affected by forced criminality and online scam operations are protected. Some examples include:

• Addressing factors that increase vulnerability of trafficking

• Identifying victims of trafficking and ensuring that they are aware of their rights

• Developing legislation that has a non-punishment principle for victims of trafficking

• Providing protection and effective remedies to ensure victims get access to social services while ensuring the assistance is trauma informed, gender responsive, and child-sensitive

• Maintaining an adequate legal framework ensuring the law contains all core international human rights to protect individuals

• Creating safe migration pathways

• Regulating platforms where fraudulent recruitment takes place

Eliminating cyber slavery involves more than simply punishing individuals who have trafficked and duped people into becoming scam operators. As scam operations have expanded to include global populations, more research and surveys are needed to explore how trafficking patterns can vary depending on factors such as country of origin, education level, and gender (Franceschini et al., 2024). Without thorough data collection and information sharing, it will be difficult to gather a comprehensive understanding of victim backgrounds. Moreover, discovering common victim vulnerabilities could help understand how to develop responses to disrupt traffickers, prevent people from becoming victims of cyber slavery, and offer support to survivors (Franceschini et. al, 2024).

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Glossary

• Capital: A Critique of Political Economy: A book by Karl Marx critiquing political economy.

• Collusion: Limits open competition by creating a deceitful agreement or secret union between two or more parties by deceiving, misleading or defrauding others of their legal right.

• Commodity-Money-Commodity (C-M-C): Purchasing commodities to buy more commodities.

• Compound capitalism: A new manifestation of predatory capitalism dependent on exceptionality, labor segregation, forceful data extraction, and the reliance of desperate workers.

• Crypto fraud: Fraudulent financial practices that occur in the cryptocurrency space.

• Cyber slavery: A form of slavery where victims are abused and forced to carry out illegal work such as scams via the Internet, telephone, or text messaging.

• Exceptionality: The ability of scam centers to operate outside of local law enforcement.

• Forceful data extraction: Once scam companies gain the trust of their victims, they try to extract all data from their victims.

• Frog jumping: A plyometric exercise that activates muscles in the body by using an individual’s own weight. If performed incorrectly, it can cause harm.

• Labor segregation: A system that constricts workers movement and agency leading to minimal worker solidarity.

• Money-Commodity-Money (M-C-M): Marx’s general formula for capitalism. Occurs when an individual buys a commodity to sell it at a higher price.

• Money laundering: An illegal activity where large amounts of money are generated by criminal activity.

• Money-Money (M-M): An individual receiving a loan then paying it back with interest.

• Neoliberal market: A model of free market capitalism involving government deregulation, globalization, privatization, free trade, and minimal government spending.

• Philippine Offshore Gambling Operators (POGOs): Offshore gambling operators licensed by the Philippine government. Associated with violence, kidnapping and money laundering.

• Port city: A city built around a port that serves as a hub for sea or waterway trade and transportation.

• Romance scam: A cybercrime often committed on social networks and dating apps. Scammers gain the trust of their victims, convince victims to give them money, and abandon them.

• Special Economic Zone (SEZ): Located within a country’s borders, an area in which the business and trade laws are different from the rest of the country.

• Surveillance Capitalism: The collection and commodification of personal data by corporations. The business models of digital companies like Google, Amazon, and Apple represent a new form of capitalist accumulation.

• United Nations Human Rights Office of the High Commissioner (OHCHR): A division of the United Nations Secretariat dedicated to promoting and safeguarding human rights as outlined in international law and the 1948 Universal Declaration of Human Rights.

• Villa: A country estate, complete with house, grounds, and subsidiary buildings

• V-M+: Joyce C.H. Liu’s view of the logistics of modern slavery. V represents the Void— “no value” and “violence”.

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Sources

1. BBC. (2024). The online scam hubs in Southeast Asia [Infographic]. https://www.bbc.com/news/articles/cw076g5wnr3o

2. Franceschini, I., Li, L., Hu, Y., & Bo, M. (2024). A new type of victim? Profiling survivors of modern slavery in the online scam industry in Southeast Asia. Trends in Organized Crime, 1–23. https://doi.org/10.1007/s12117-024-09552-2

3. Franceschini, I., Li, L., & Bo, M. (2023). Compound Capitalism: A Political Economy of Southeast Asia’s Online Scam Operations. Critical Asian Studies, 55(4), 575–603. https://doi.org/10.1080/14672715.2023.2268104

4. Felluga, Dino. (2002, July 17). Introduction to Marxism. Modules on Marx: III On Capital. Purdue University. http://www.purdue.edu/guidetotheory/marxism/modules/marxcapitalism.html

5. McNamee, K., Kenin, J., & Kelly, M. L. (2024, Aug 8). How criminal syndicates traffic, torture and enslave people to send scam text messages. All Things Considered (NPR). https://www.npr.org/2024/08/08/nx-s1-5058798/how-criminal-syndicates-traffic-torture-and-enslave-people-to-send-scam-text-messages

6. Liu, J. C. H. (2023). Cyber Slavery, Port Cities and Systemic Cruelty: Logistics of Labor Extraction in the 21st Century. Innovation in the Social Sciences, 1(2), 211–233. https://doi.org/10.1163/27730611-bja10014

7. Podkul, C., & Liu, C. (2022, September 13). Human Trafficking’s Newest Abuse: Forcing Victims Into Cyberscamming. ProPublica. https://www.propublica.org/article/human-traffickers-force-victims-into-cyberscamming

8. United Nations High Commissioner for Human Rights. (2023, August) Online Scam Operations and Trafficking into Forced Criminality in Southeast Asia: Recommendations for a Human Rights Response. United Nations. https://bangkok.ohchr.org/sites/default/files/wp_files/2023/08/ONLINE-SCAM-OPERATIONS-2582023.pdf