KUALA LUMPUR: Human Resources Minister M Saravanan said the ministry is looking into allegations of forced labour against FGV Holdings Bhd, after US Customs and Border Protection (CBP) said it will detain palm oil and palm oil products made by the company effective today.
He also said he was informed another big plantations group will face similar restrictions soon.
Saravanan said he was told by the US ambassador about the allegations against FGV but did not expect CBP to issue the detention order.
“I need to check what is going on. Let me check with my officers on the ground to get the full details on the issue,” he told reporters on the sidelines of a meet-the-people session at Menara Manickavasagam here.
In a statement this morning, FGV had reiterated its commitment to the rights and welfare of its workers after the US authorities announced the action following claims of forced and child labour.
CBP said the directive against FGV followed a year-long investigation that revealed forced labour indicators, including restriction of movement, physical and sexual violence, withholding of wages and excessive overtime.
Saravanan said the US ambassador had informed him the labour issue was mostly in plantations in Sabah and Sarawak, involving children of workers.
“I have been told that another big firm will be banned soon. I know (which firm) but I cannot (disclose),” he said.
He said the ministry would be working closely with the home affairs ministry.
Saravanan said the labour issue was one of the main reasons he was pushing for amendments to the Workers’ Minimum Standards of Housing and Amenities Act 1990.
“It will address all the issues but some unions are against it,” he said.
Asked if he felt the ban on FGV palm oil and palm oil products was an indicator that the previous administration failed to crack down on labour abuses, he said it was unfair to play the blame game at this stage.
“It (the ban) could be long overdue. It may not be the previous government’s (failure) also. It’s not an overnight (issue),” he said, adding that the government would take the necessary action.
He said the issue was worrying as Malaysia depended on exports of commodities such as palm oil and such bans would hurt its economy. - FMT
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