FGV Annual Report 2020

Sustainability Matters > > > > Revised contracts with recruitment agencies FGV has amended its contracts with recruitment agencies to ensure that migrant workers are not charged fees covered by FGV, throughout the recruitment process to minimise the risk of debt bondage. Development of a Communication Pack FGV has developed a Communication Pack to guide migrant workers so that they understand better the content of their employment contracts which have been translated into their native languages. Revised and translated employment contracts FGV has reviewed its employment contracts with migrant workers to address the concerns raised by RSPO’s Complaints Panel. Our revised employment contracts have been translated into five (5) languages: English, Indonesian, Bengali, Tamil and Hindi. One-stop centers for recruitment FGV has established one-stop Centres where workers undergo orientation programmes, briefing and training. These are in Gemencheh, Negeri Sembilan and Lombok, Indonesia as well as in Chennai and Kolkkata in India. The Group is exploring the possibility of setting up centres in other labour-source countries. REGULARISATION OF WORKERS We continue to be challenged with cross border policy gaps and the deep-rooted socio-economic drivers of migration that have a bearing on our operations, specifically in Sabah. The context in Sabah is highly complex and is a result of a multiplicity of contributing factors. In keeping with our commitment to phase out engaging contractors, FGV invited workers from contractors to join our workforce in 2019. This is followed by facilitating the application for regularisation of the workers and covering the fees involved in the regularisation process. The regularisation exercise is an initiative introduced by the Sabah State Government and the power to regularise workers lies solely in the hands of the relevant authorities. While FGV has done its part to register 6,158 workers under this programme, the regularisation exercise has been put on hold since September 2020. FGV will continue to engage with the authorities with a view to seeing through the resolution of the matter. Our regularisation exercise in FY2020 Number of applications submitted Number of workers issued passports by the Indonesian or the Philippine authorities Number of workers who have submitted applications for biometric verification Number of workers who completed the process and pending issuance of work permits Number of workers who received work permits 6,158 5,211 3,458 1,044 965 124 FGV HOLDINGS BERHAD Annual Integrated Report 2020