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FGV Holdings Bhd.: Changing Cost to Recruit Migrant Workers

Doc. of FGV Holdings Berhad/The office of FGV Holdings Berhaddi Malaysia.
FGV Holdings Bhd.: Changing Cost to Recruit Migrant Workers

InfoSAWIT, KUALA LUMPUR - FGV Holdings Bhd delivered announcement to change recruitment costs for migrant workers that was paid for the third parties. The program would deliver re-fund for the ex-workers that came from Nepal, India, and Bangladesh that worked since September 2018 and December 2022. Besides, the scheme would cover the former workers from the countries that worked since January 2023 and did not work anymore before 2024.

The announcement was officially published in its facebook. This also emphasized that the company would be committed to realize sustainable recruitment practice and the principles ‘employer pays’.

"FGV is committed to deliver responsible recruitment process and principle to pay the workers. By independently having review, FGV found that the migrant workers might had paid the recruitment process and other related things to be working at FGV. To obey the principle ‘employer pays’, FGV decided to offer and substitute the recruitment costs for the former workers in or after 1 September 2018," the company mentioned, as InfoSAWIT quoted from businesstoday.com.my.

This would be the same significant as the Customs and Border Protection in September 2020 that managed withhold release order (WRO) to FGV, banned palm oil imports and its related products because of forced labor accusation.

By the early of this year, FGV did some things to solve the issue by substituting recruitment costs for about RM 72,2 million for 19.673 migrant workers to modify WRO.

The initiative to substitute recruitment cost would reflect that FGV would confirm that every migrant worker would be treated fair and every recruitment cost would not be a burden for them. This is the same commitment of the company to realize ethical and responsible recruitment principles. (T2)