Malaysia's Top Glove raises remediation payment to migrant workers

by Reuters
Tuesday, 6 October 2020 10:25 GMT

A worker inspects gloves at a Top Glove factory in Klang outside Kuala Lumpur January 11, 2010. REUTERS/Bazuki Muhammad

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The glove maker had imports banned by the U.S. Customs and Border Protection in July over allegations that it used forced labour

KUALA LUMPUR, Oct 6 (Reuters) - Malaysia's Top Glove Corporation Bhd has raised the amount it will repay migrant workers for recruitment fees after verification work completed by an independent consultant, it said on Tuesday.

"The remediation will now be based on the revised sum of approximately 136 million ringgit ($32.77 million), in accordance with recommendations by the independent consultant," the company said.

It had previously said it estimated 53 million ringgit in remediation for the recruitment fees paid by the migrant workers to agents or other parties.

The glove maker, largest in the world, was banned its imports by the U.S. Customs and Border Protection in July over allegations that it used forced labour.

Top Glove said migrant workers will receive remediation over the next 10 months, from this month. It has made two remediation payments in August and September.

Top Glove said it is following up closely with the U.S. Customs to resolve and revoke the detention order on its goods.

($1 = 4.1500 ringgit) (Reporting by Liz Lee, editing by Louise Heavens)