This article aims to provide empirical evidence on understanding how migrant workers’ responses to labour exploitation in low‐wage economies are articulated. Inspired by the low levels of conflict among workers in small urban sweatshops in Italy and Argentina, we ask ourselves what contextual and subjective factors prevent workers from organising collectively. Here we argue that in order to understand the nature of their responses, it is necessary to consider not only the organisation of the labour process, but also the class divisions within migrant communities. We also bring in briefly the role of the state in (mis)regulating migrant labour exploitation. We conclude by showing that workers’ responses are highly individualised and that community leaders with economic interests in sweatshop economies may play a role in securing their continuation by channelling the workers’ responses towards the defence of the “ethnic economy”.