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Malaysian firms facing U.S. bans over forced labour summoned by ministry -Breaking

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© Reuters. The Sime Darby Planation Headquarters, Petaling Jaya Malaysia Oct 2, 2019, is a general view. REUTERS/Lim Huey Teng

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KUALA LUMPUR – Malaysia’s Human Resources Ministry stated on Sunday that all U.S. businesses facing bans due to suspected forced labour practices would be called in to talk about immediate actions to address these allegations.

Malaysian factory, including major suppliers of palm oils and medical gloves, has been subject to increased scrutiny due to allegations of abuses of migrants, who constitute a substantial part of Malaysia’s workforce.

U.S. Customs and Border Protection (CBP), based on evidence that the company used forced labor, announced Friday that it will ban imports of disposable glove manufacturer YTY Group. This is the seventh time such a ban has been placed on a Malaysian firm in the past two years.

Additionally, the agency determined that Sime Darby Plantation Bhd is a Malaysian palm oil producer and used forced labor in its operations. The goods of this company were also subject to seizure.

M. Saravanan, Malaysia’s Human Resources Minister, said that he will meet all companies facing US import bans. He also met with WRP Asia Pacific (and Top Glove Corp) which had both seen their bans lifted.

Saravanan, in a statement said that the approaches of these two companies could be used as a guideline and improvement for other businesses.

Saravanan also said that he ordered an urgent inquiry by Ministry of Human Resources (MHR) into these allegations and warned of harsh action against any company who fails to improve its practices.

Minister Hadi acknowledged that investors had lost confidence in Malaysia after being made to work for Malaysian companies with forced labour claims.

Malaysia announced last year a National Action Plan on Forcible Labour. It aims to end abusive labour practices like debt bondage and unhygienic sleeping quarters for workers.

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