26 Feb 2025
Living Wage for Migrant Workers in the Palm Oil Plantations in Sabah, Malaysia
Summary
Date Reported: 26 Feb 2025
Location: Malaysia
Companies
FGV Holdings Berhad - Reported buyer , Teck Guan Perdana - Reported buyer , Nestlé - Reported buyer , Cargill - Reported buyer , PepsiCo - Reported buyer , BASF - Reported buyer , Barry Callebaut - Reported buyer , Unilever - Reported buyerOther
Not Reported ( Palm trees & oil ) - EmployerAffected
Total individuals affected: 200
Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Gender not reported , Undocumented migrants ) , Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Gender not reported , Documented migrants ) , Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Women , Unknown migration status ) , Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Men ) , Migrant & immigrant workers: ( Number unknown - Indonesia , Security companies , Men , Unknown migration status )Issues
Occupational Health & Safety , Gender Discrimination , Living Wage , Wage Theft , Minimum Wage , Failing to renew visas , Denial of permanent contracts , Precarious/Unsuitable Living Conditions , Fair & Equal Wages , Poverty Wages , Reasonable Working Hours & Leisure Time , Right to Food , Access to Non-Judicial Remedy , Access to electricity , Access to Water , Restricted access to medicines , Right to Education , Denial of leave , Intimidation , Child labour , Irregular Work , Injuries , Recruitment Fees , Restricted mobilityResponse
Response sought: Yes, by Resource Centre
Story containing response: (Find out more)
Action taken: In July 2025, the Business & Human Rights Resource Centre invited the companies to respond to the allegations outlined in the report. It received responses from FGV Holdings Berhad, Teck Guan Perdana, Nestlé, Barry Callebaut, Unilever, Cargill and BASF. PepsiCo did not respond. The companies' responses can be read in full in the attached story.
Source type: NGO
Summary
Date Reported: 26 Feb 2025
Location: Malaysia
Companies
Cargill - Buyer , BASF - Buyer , Barry Callebaut - Buyer , Nestlé - Buyer , PepsiCo - Buyer , Unilever - BuyerOther
Not Reported ( Palm trees & oil ) - EmployerAffected
Total individuals affected: 200
Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Gender not reported , Documented migrants ) , Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Gender not reported , Undocumented migrants ) , Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Women , Unknown migration status )Issues
Reasonable Working Hours & Leisure Time , Right to Food , Access to electricity , Access to Water , Restricted access to medicines , Right to Education , Access to Information , Denial of leave , Intimidation , Recruitment Fees , Restricted mobility , Debt Bondage , Living Wage , Wage Theft , Minimum Wage , Failing to renew visas , Denial of permanent contracts , Gender Discrimination , Precarious/Unsuitable Living Conditions , Poverty Wages , Fair & Equal WagesResponse
Response sought: Yes, by Resource Centre
Story containing response: (Find out more)
Action taken: In July 2025, the Business & Human Rights Resource Centre invited the companies to respond to the allegations outlined in the report. It received responses from FGV Holdings Berhad, Teck Guan Perdana, Nestlé, Barry Callebaut, Unilever, Cargill and BASF. PepsiCo did not respond. The companies' responses can be read in full in the attached story.
Source type: NGO
Summary
Date Reported: 26 Feb 2025
Location: Malaysia
Companies
Unilever - Reported buyer , Nestlé - Reported buyer , Barry Callebaut - Reported buyer , Cargill - Reported buyer , PepsiCo - Reported buyer , BASF - Reported buyerOther
Not Reported ( Palm trees & oil ) - Reported buyerAffected
Total individuals affected: Number unknown
Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Men ) , Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Gender not reported , Documented migrants ) , Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Gender not reported , Undocumented migrants ) , Migrant & immigrant workers: ( Number unknown - Indonesia , Agriculture & livestock , Women )Issues
Intimidation , Irregular Work , Poverty Wages , Right to Food , Precarious/Unsuitable Living Conditions , Access to Non-Judicial Remedy , Access to electricity , Access to Water , Restricted access to medicines , Recruitment Fees , Living Wage , Wage Theft , Minimum Wage , Failing to renew visas , Denial of leave , Gender Discrimination , Reasonable Working Hours & Leisure Time , Restricted mobility , Debt BondageResponse
Response sought: Yes, by Resource Centre
Story containing response: (Find out more)
Action taken: In July 2025, the Business & Human Rights Resource Centre invited the companies to respond to the allegations outlined in the report. It received responses from FGV Holdings Berhad, Teck Guan Perdana, Nestlé, Barry Callebaut, Unilever, Cargill and BASF. PepsiCo did not respond. The companies' responses can be read in full in the attached story.
Source type: NGO
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"Living Wage for Migrant Workers in the Palm Oil Plantations in Sabah, Malaysia"
This study estimates a living wage for migrant workers in palm oil plantations in Sabah, Malaysia, through interviews with 26 workers from three different plantations. The research begins by contextualising Malaysia’s economic dependence on migrant labour, especially in the palm oil sector, and addresses issues related to irregular migration and undocumented workers in Sabah. The primary aim of this research is to assess the living conditions of migrant workers and their families on these plantations and to propose a suitable living wage. The methodology includes a detailed case study approach and the application of the Anker Methodology for calculating living wages.
The study provides comprehensive profiles of the three plantations, including overviews of the plantations, the number of workers, and their working conditions. It also examines the piece-rate wage system prevalent among migrant workers. The calculation of a living wage is thoroughly explained, encompassing definitions, principles, and components such as food costs, housing costs, and non-food non-housing costs. The study also considers migrant-related costs in its calculations and discusses the cost of illegality...