KUALA LUMPUR, 10 Jan – FGV Holdings Berhad (FGV) is making significant progress in addressing the Withhold Release Order (WRO) issued by the United States Customs and Border Protection (CBP). As part of its commitment to ethical labor practices, FGV has prioritized the implementation of a remediation plan, with a key focus on reimbursing recruitment fees to migrant workers, including former migrant workers.
Dato’ Nazrul Mansor, Group Chief Executive Officer of FGV, emphasized the company’s dedication, stating, “FGV is fully committed to the principle of ‘no recruitment fee for workers’.”
In line with this commitment, FGV has allocated RM112 million for the reimbursement of recruitment fees. The reimbursements, totaling RM72.2 million, have already been distributed to 19,673 workers in three tranches, paid in March, June, and September 2023.
LRQA, a leading global assurance partner, was appointed by FGV to verify the reimbursement exercise. The verification procedures, conducted between October and November 2023, concluded that “100 percent of the workers who were interviewed had received all three tranches of the reimbursement exercise made by FGV.”
Furthermore, FGV is extending the reimbursement program to former migrant workers, with 415 former workers reimbursed a total of RM1.77 million to date. This initiative is set to continue until the end of 2024.
FGV is actively strengthening its recruitment procedures, engaging LRQA to survey newly recruited workers and ensuring that recruitment agencies comply with ethical standards. The revised agreements with recruitment agencies now include obligations for agencies to reimburse workers for any recruitment fees.
Commenting on FGV’s efforts, the article notes, “FGV is leading the way in demonstrating how businesses can make a positive impact.”
Looking ahead, LRQA is expected to conduct a follow-up assessment in the first quarter of 2024 to verify the implementation of FGV’s overall remediation plan. With the outcome of the assessment, FGV plans to prepare a petition to the CBP to modify the WRO, to be submitted by the end of the second quarter of 2024.
- TNS News