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Company Response

12 Mar 2019

Author:
Samsung Electronics

Samsung: follow-up response

"12 March 2019: Samsung Electronics' reply to the Guardian article (November 8th 2018) on Malaysia"

Samsung Electronics has investigated the allegations in the Guardian article on Malaysia…we have identified issues relating to the employment of migrant workers. Corrective Action Plans have been implemented…

The Samsung Electronics Malaysia (SEMA) plant in Selangor produces microwave ovens for the global market...In November 2018, following the publication of the allegations in the Guardian…we promptly conducted additional on-site audits of all 6 sub-contracting suppliers to the SEMA plant... 

We interviewed 95 migrant workers from Bangladesh, Indonesia and Nepal and surveyed all migrant workers (117) at our Malaysian facility.

The audit team identified the following key issues: 

- 54% of workers from 3 sub-contractors had their passports held in a safe. Of those, 85% gave their written consent for the employer to hold their passport.

- 61% of workers from 3 sub-contractors paid recruitment fees. 

As a result of the November 2018 audits, corrective action plans were put in place...Improvements to date include: 

- As of February 2019, passport retention was 0%...

- All 6 sub-contractors revised their policies to include prohibition of unlawful deduction of recruitment fees and levies starting January 2019. 

- Meanwhile other issues such as housing conditions and repayment of recruitment fees and levies paid by workers are progressing towards improvement. Two sub-contractors are developing their reimbursement plan.