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PETALING JAYA: FGV Holdings BHd (FGV) has expressed disappointment at the hold release order (WRO) issued by the US Customs and Border Protection (CBP) against palm oil and palm oil products manufactured by her.
The United States blocked imports of palm oil and palm oil products from FGV, which is one of the world’s largest producers.
Shipments from the company and its subsidiaries were delayed at all ports of entry as of yesterday, the US Customs and Border Protection said in a statement.
The order is based on what US authorities say is information that “reasonably indicates” the use of forced labor.
FGV said that all the issues raised have been the subject of public debate since 2015 and it has taken various steps to correct the situation. FGV’s efforts are well documented and available in the public domain, it said in a statement today.
“FGV has been taking concrete steps in recent years to demonstrate its commitment to respect human rights and uphold labor standards,” he said.
“As mentioned in our statement on September 26, FGV has made various efforts to fulfill that commitment.”
FGV said it continues to strengthen its procedures and processes in hiring migrant workers.
“FGV has established four one-stop-shop centers in Malaysia and in the countries of origin, namely India and Indonesia, as part of our efforts to strengthen pre- and post-departure counseling programs for our migrant workers,” he said.
“Through these orientation sessions, our migrant workers receive information on various issues, including the terms of their employment, the scope of work and the nature of work, rights and responsibilities, as well as benefits and benefits.”
The Malaysia-based global agricultural and agricultural products company said it also adopted its Guidelines and Procedures for Responsible Hiring of Migrant Workers in 2019 in accordance with international standards and will continue to strengthen the document.
“Under the Guidelines, FGV agrees to pay the official costs associated with hiring migrant workers, which include airfare and costs of work permits, visa, medical check-ups and insurance. FGV has also reviewed its contract with the recruitment agencies to require them to ensure that no fees are charged to workers, ”he said.
On the recruitment or employment of refugees, FGV said it does not participate. “Starting in 2020, FGV recruits its migrant workers mainly from India and Indonesia through channels and legal processes recognized and approved by the Malaysian authorities and the countries of origin.
“As of August 2020, FGV has 11,286 Indonesian workers and 4,683 Indian workers, who together make up the majority of the FGV plantation workforce. Furthermore, FGV does not hire subcontracted workers and all workers are directly employed by FGV ”, he said.
FGV also said it is also a pioneer in the implementation of the electronic wallet cashless payroll system for its plantation workers.
“The e-wallet system, which empowers workers, acts as a more convenient and efficient way for workers to manage their finances, has been successfully implemented since February 2020 in Gua Musang, Kelantan, with the participation of 1,500 users registered in 11 of their farms.
“By the first quarter of 2021, FGV aims to implement this system throughout its plantation sector, including farms in Sabah and Sarawak,” he said.
FGV also noted that it does not practice holding passports of its workers and has installed a total of 32,250 safe deposit boxes in all its 68 complexes, as an option for migrant workers to keep their passports safely.
“To fulfill workers’ rights to adequate housing, FGV has invested approximately RM350 million in the last three years to improve housing facilities for its workers by building new residences on our plantations across the country,” he said. .
“FGV respects the workers’ right to medical care through the benefits provided, which cover annual outpatient care expenses and an unlimited allowance for hospital treatment.”
Aware that human rights and sustainability standards must be met throughout our supply chain, FGV has adopted a Code of Conduct for Suppliers (SCOC), which describes the principles and standards related to sustainability; business ethics and integrity; health and environmental safety; and labor, which our suppliers and vendors must meet, he said.
“Any vendor or vendor who does not comply with SCOC will be subject to FGV’s Vendor Delinquency Guidelines, with the possibility of being suspended or fired and blacklisted if they do not demonstrate a willingness to rectify gaps in their practices.
“It is worth reiterating that FGV does not tolerate any form of violation of human rights or crime in its operations.
“FGV pays close attention to any complaint of physical or sexual violence, as well as intimidation or threats, and as a responsible company, FGV will act on any case of this nature, including reporting them to the relevant authorities,” he added.
Saying that it recognizes that respecting human rights is an ongoing effort, FGV noted that it became a participating company of the Fair Labor Association (FLA) and is currently implementing a comprehensive long-term action plan under its affiliation with the Association. Fair Work. (FLA), which includes a series of initiatives to further strengthen various aspects of our labor practices such as our recruitment process, training programs in human rights, living and working conditions, as well as complaint mechanisms, among others.
“The FGV action plan for 2020 was adopted on March 31, 2020 in consultation with the FLA and several other stakeholders, including civil society organizations (CSOs).
“The action plan was adopted at a time when the Covid-19 situation was rapidly deteriorating globally, including in Malaysia.
“Despite the unprecedented challenges posed by the Covid-19 pandemic, which forced FGV to realign its priorities to ensure that necessary steps are taken to slow and combat the spread of Covid-19, FGV remained committed to implementing the action plan, and FGV believes that concrete progress has been made in the six months of implementation starting in April 2020.
“FGV is confident that it is on the right track to be able to carry out the actions that must be completed by the end of 2020,” he said.
FGV said its membership in the FLA is subject to a rigorous validation exercise and public reporting. The FLA report on FGV’s progress in implementing the action plan is posted on the FLA website.
“Since August 2019, FGV has been communicating with CBP through our legal counsel and has presented evidence of compliance with labor standards as committed by FGV.
“He will continue to collaborate with CBP to clear the name of FGV, and is determined to fulfill the commitment to respect human rights and uphold labor standards,” added FGV.
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