Sime Darby has announced in a press release “sweeping changes in governance and operations” in attempt to address forced labour allegations levelled against the company and USCBP findings that resolving the issue would require “significant financial investments” and restructures. Several reforms pledged by Sime Darby are of notable:

• Reimbursement of recruitment fees. Sime Darby will reimburse some 15,078 foreign workers with an aggregate sum of RM38.6 million. A sinking fund of RM43.5 million to reimburse 19,565 workers will also be set aside. All reimbursements will be paid in lump sum, and current foreign workers will be informed of and receive their monies on 17 February 2021.

• Ethical recruitment. Due diligence will be conducted regularly on recruitment agents to ensure that they are credible and fully licenced. Monitoring and training will be given to agents selected via open tender processes, and will undergo performance monitoring as well. Agents found to have violated Sime Darby’s zero recruitment fee policy will be prohibited from working with Sime Darby.

• Structural changes. An ESG scorecard with “clear indicators” has been approved by the Board. A Social Welfare & Services department responsible for the implementation of policies concerning workers’ safety and welfare has also been established. Accordingly, 40 full time Site Safety & Sustainability Officers have been appointed to enforce these policies.