- The US Government has announced it will continue and expand a project promoting labour rights in Indonesia’s palm sector
- The project is being run in collaboration with the International Labor Organisation and the Indonesian Palm Oil Association (GAPKI)
The United States government has announced the continuation and expansion of its support for a program run through the International Labor Organization (ILO) that aims to improve labor conditions and sustainability practices in Indonesia’s palm oil industry.
The announcement was made last week at an event in Simalungun Regency in North Sumatra, which will be the site of the new program.
The US-supported program — Advancing Workers’ Rights in Indonesia Palm Oil Sector – commenced in 2019 with the ILO operating the project. It continued work that commenced in 2016 with the support of the Netherlands.
The initiative aimed to empower Indonesian palm oil unions to advocate for workers’ rights, particularly the freedom to associate and negotiate collectively. Leveraging previous ILO efforts, it sought to enhance access to labour rights and quality jobs, improve compliance with labour standards and laws, and promote social dialogue. The project also focused on strengthening unions, enforcing labour legislation, and sharing knowledge on employment and labour in the palm oil sector, targeting plantations, crude palm oil, oleo chemical factories, and food and beverage industries using palm oil.
Most recently this has included dialogues between the private sector, trade unions and government regulators, promoting ILO fundamental principles and rights.
The new initiative, named SCOPE SITALASARI, represents a collaborative effort between the U.S. government, the ILO, and the Indonesian Palm Oil Association (GAPKI).
Carter Quinley from the U.S. Department of Labor highlighted the commitment of the US Government, the ILO and GAPKI to workers’ rights worldwide. “We are looking for partners who can be leaders in improving labor conditions. We are working with the ILO to underline that Indonesia and palm oil companies are leaders in labor rights,” Quinley said.
The program aims to create a model for sustainable palm oil production that prioritizes worker welfare. Key focus areas include eliminating child labor, promoting gender equality, ensuring decent working conditions, raising awareness about occupational safety and health, and providing social security.
Simalungun Regent Radiapoh Sinaga welcomed the initiative, expressing hope that it will enhance the welfare of oil palm workers and farmers. This world-first social compliance pilot program will operate on a tripartite basis, involving the government, workers, and entrepreneurs.
Media coverage of the initiative in Indonesia has noted that the US government approach to labor rights in Indonesia is very much on a positive footing that seeks to encourage better practices rather than block Indonesia’s exports.