By Dominic Tham
IT is easy for a corporate behemoth like Top Glove Corporation Bhd to brush off bad press if only the local law enforcement agency is going after the company over alleged breaches in laws related to workers accommodation.
But if one of the biggest federal law enforcement agencies in the US accuses the world’s largest rubber gloves manufacturer of using forced or indentured labour, a public relations disaster is in the making.
In a notice published on its website, The US Customs and Border Protection (CBP) has claimed that certain products by Top Glove had been manufactured with the use of forced or indentured labour.
It also alleged that certain disposable gloves had been “produced or manufactured by the rubber glove maker with the use of forced labour, and are being, or are likely to be, imported into the US”.
“This finding applies to any merchandise described in Section II of this notice that is imported on or after March 29, 2021.
“It also applies to merchandise which has already been imported and has not been released from CBP custody before March 29, 2021,” it said.
By any standards, the CBP’s allegations are damning. For one, it is one of the foremost law enforcement agencies not just in the US, but the world, employing over 45,000 staff and is known for its stringent investigation and enforcement standards. Its credibility is second to none.
Secondly, the CBP’s claims against Top Glove are even more damning than earlier thought. Previously, the company came under fire for allegedly providing substandard accommodation for its hordes of foreign workers, mostly those who keep its production lines running.
It was so bad that over 4,000 of its workers, living in allegedly squalid conditions, contracted COVID-19. It went on to become the largest COVID-19 cluster – dubbed the Teratai cluster – the country has ever seen. One of its staff who blew the whistle was summarily sacked.
The company has since been charged under Section 24D (1) of the Workers’ Minimum Standards of Housing and Amenities Act 1990. The company has claimed trial for the charge but if convicted, the company which made a profit of RM1.87 bil last year, faces a maximum fine of RM50,000.
Following harsh public criticisms, Top Glove relocated 2,000 of its workers to new hostels it is renting and the new living spaces come with facilities like canteens, convenience shops, sports and recreational facilities, and a laundromat.
Besides allegations of poor living conditions, the company has also faced allegations that its foreign workers were only brought in after they paid hefty recruitment fees. Bangladeshi workers had to reportedly fork out US$4,800 (RM19,418) per person as recruitment fees to come work in Top Glove’s plants in Malaysia.
The company has since terminated the services of agencies that resorted to such practices. But the CBP’s allegations of Top Glove’s alleged use of “forced” and “indentured” labour marks a new low for the company considering such practices are often associated with modern day slavery in underdeveloped countries like North Korea or Burundi.
What is most perplexing is that Top Glove has been receiving bad press for years, involving not just the local media but coverage in established international networks like the British Broadcasting Corporation (BBC) as well.
One would have thought that a company valued at over RM40 bil can afford to hire a team of top-notch public relations wizards to turn the company’s battered image around. Unless, of course, not enough has been done to address the real issues, in which case, no amount of PR wizardry can do the trick. – March 31, 2021
Dominic Tham is a FocusM editorial contributor.
The views expressed are solely of the author and do not necessarily reflect those of Focus Malaysia.
