"it prevents the actual current victim getting paid."
No, it doesn't. It just prevents a company from paying them and requiring them to sign away labor law rights as a condition of payment. And it would be in the company's best interest to do so as it changes the story from "X did this to me and Y company did nothing to take care of me" to "X did this, but the company made sure I was OK".
If a company chooses to stop doing this, it is their decision and not a result of the law.
No, it doesn't. It just prevents a company from paying them and requiring them to sign away labor law rights as a condition of payment. And it would be in the company's best interest to do so as it changes the story from "X did this to me and Y company did nothing to take care of me" to "X did this, but the company made sure I was OK".
If a company chooses to stop doing this, it is their decision and not a result of the law.