Malaysia's Supermax adopts new management policy on migrant workers

Malaysian glove maker Supermax Corp Bhd has rolled out a new foreign worker management policy that expands its recruitment fee remediation scope to include former workers directly hired and contracted, it said on Tuesday.
 

The policy will cover workers who left the company before October 2019, Supermax said in a statement filed with the stock exchange.

Supermax faces an import ban by the U.S. Customs since October due to indications of forced labour at its operations, and last month Canada terminated its sourcing contract with the company on similar allegations.

Workers at the company also sought a judicial review of the British government's decision to approve the company
in December as a supplier to its National Health Service.

The manufacturer said the new initiatives and revised eligibility criteria for remediation have been agreed upon after seeking views and advice from an unnamed international consulting firm and through ongoing engagement with migrant worker rights activist Andy Hall.
 

"Supermax has also engaged an international consulting firm to continue to assess and advise on the payout to all our current and former workers as well as to track and locate these workers that have returned to their home countries," it said.

The company will set up a sinking fund governed by an advisory committee for the remediation effort, which will be reviewed when depleted.

Supermax has so far paid out 25.67 million ringgit ($6.13 million) in remediation covering past recruitment fees, ex-gratia and other related costs to workers, it said.