Responsible Sourcing at IOI: Updates on Labour Transformation Programme
07/10/2019, Corporate Sustainability

In July 2019, IOI Corporation Bhd (IOI), initiated a transformation programme to enhance management systems on migrants labour welfare and rights within our supply chain and meet our no exploitation commitments.

This initiative is a mill engagement based activity which focuses on the following four labour issues: employment contracts, recruitment practices, grievance mechanism and freedom of movement.

Each mill engagement is structured in 3 stages that spans over a 6 months’ duration:

  • The first stage of engagement consists of a rapid on the ground assessment of current practices with awareness and capacity building for the supplier’s operational team.
  • The second stage is a review of the outcomes of field assessment with the objective to develop bespoke action plans in order to address the identified labour risks.
  • The last stage involves providing support, guidance and monitoring to the mill during their implementation of the action plans and, if necessary, further refinements to the action plans. 
A presentation of key findings will be shared with the supplier’s senior management team with the objective to streamline other related operating units. This is an opportunity to highlight best practices and progress made during the course of the engagement but also areas for improvement at both mill and group/HQ levels.

We are currently engaging with Bell Group (Bell Palm Industries POM) which is one of the key millers in our supply chain.

Note: The Labour Transformation Programme is developed and implemented in collaboration with Earthworm Foundation (EF).


EF, IOI and Bell Team


EF conducting workers' interview and survey