NGO exits Sime Darby Plantation rights panel over firm’s lawsuit

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NGO exits Sime Darby Plantation rights panel over firm’s lawsuit

By Mei Mei Chu KUALA LUMPUR, Ma


By Mei Mei Chu

KUALA LUMPUR, March 13 (Reuters)Non-profit Shift mentioned it has left Sime Darby Plantation Bhd’s SIPL.KL new human rights fee after the Malaysian palm oil big sued an activist, probably dealing a blow to its struggle in opposition to a U.S. import ban over pressured labour accusations.

An activist mentioned he’s additionally contemplating leaving the two-week-old panel after the world’s largest sustainable palm oil producer sued Liberty Shared managing director Duncan Jepson, in reference to claims of employee abuse.

Kuala Lumpur-based Sime Darby didn’t instantly reply to requests for remark.

The US in December banned the corporate’s palm imports over accusations it makes use of pressured labour in manufacturing, prompting some international palm oil consumers to drop it from their provide chains.

Palm oil is among the world’s least expensive and fastest-growing crops, however the business has confronted scrutiny through the years, with rights teams blaming producers for huge deforestation in Southeast Asia and exploitative labour practices.

Sime Darby shaped the rights panel on March 1 however on Thursday it mentioned it has begun U.S. authorized motion in opposition to Jepson, who heads Hong Kong-based anti-trafficking group Liberty Shared, in search of details about his criticism to Malaysia’s Securities Fee.

The criticism has led to an investigation into the corporate’s sustainability disclosures. Liberty Shared efficiently petitioned the U.S. Customs and Border Safety final yr to ban Sime Darby merchandise, citing proof of labour abuse.

The border service informed Reuters by e mail it was its coverage to say no touch upon pending litigation.

“Following the occasions of the previous few days, we’ve got regrettably determined to withdraw from the corporate’s Knowledgeable Stakeholder Human Rights Evaluation Fee,” Francis West, enterprise engagement director at U.S-based Shift, informed Reuters on Friday.

Shift works with firms to implement the United Nations Guiding Rules on Enterprise and Human Rights.

One other member of the fee, outstanding migrant-rights activist Andy Corridor, is contemplating doing the identical if Sime Darby persists with the litigation.

“I’m deeply involved on the influence of this ongoing litigation in opposition to a human rights activist on the likelihood for the human rights fee to operate successfully in accordance with its targets, and to conduct its work objectively and respectably,” Corridor informed Reuters on Saturday.

He mentioned the fee was useful for enhancing the safety and welfare of Sime Darby’s staff however that the lawsuit undermined their work.

“I’ll should resign if Sime Darby decides to proceed with it,” Corridor mentioned, including that there have been considerations the lawsuit would stifle whistleblowers.

(Reporting by Mei Mei Chu; Modifying by William Mallard)

(([email protected]; +6-139-492-9424; Reuters Messaging: @meixchu on Twitter))

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