Verification 15 July 2022
3.5 Summary of Arising Issues from Public and Auditor Verification Public Issues
(Institution/ NGO/Community) Auditor Verification
Gender Committee PT LMI
• Gender committee work programs include posyandu, as well as socialization related to gender equality, complaints resolution, and others.
• There are no employee complaints submitted through the Gender Committee.
• The company provides H1 and H2 leave for female employees.
• Women workers who are pregnant are not allowed to work related to chemicals.
There was no negative issue that need further verification.
Worker union of SYE, BTE, BTF
• There are contract workers in estate and mill.
• There is an increase in wages for 2023. The company also has a wage scale for monthly employees. For daily employees do not have a wage scale.
• There are no complaints related to wages or overtime.
• The company has provided PPE for employees.
• There are no work accidents in the weight category in each unit.
• Collective labour agreement is still valid.
• There are no complaints from employees who cannot be resolved bipartite.
• There is no issue of the use of children's labor.
There was no negative issue that need further verification.
Balaimea Village
• Relationships and communication between villages and companies well established.
• Betung POM received FFB from the Balaimea Village community
• The company provides assistance to villages submitted through proposals.
• There are no land dispute issues or environmental pollution.
• The village feels the positive impact of the company's existence
There was no negative issue that need further verification.
Customary leader of Balaimea Village
• Relationships and communication between villages and companies well established.
• There is no land dispute issue in Balaimea Village
• There is no customary land determined by the government in Balaimea Village
There was no negative issue that need further verification.
RSPO – 4006b/4.0/2804202 Page 86 Prepared by Mutuagung Lestari for PT Laguna Mandiri, Betung POM subsidiary of Sime Darby Plantation Berhad
Public Issues
(Institution/ NGO/Community) Auditor Verification
Sekayu Village and previous land owner
• Relationships and communication between villages and companies well established.
• The company provides assistance to villages submitted through proposals.
• There are no land dispute issues or environmental pollution.
• The village feels a positive impact of the company's existence.
• Compensation or handover of land with the company is established based on negotiations from both parties. There is no claim again by Previous Land owner.
There was no negative issue that need further verification.
Representative of Land National Agency of Kotabaru District.
• Company already has land legality document in form of HGU.
There is no reduction or extension of HGU area.
• There is no land dispute issue.
• There is no reports of overlapping land issues There is no land conflict
In general, there are no negative issues that need further clarification
Representative of Manpower Agency of Kotabaru District
• There is no issue related to employment violation
• Collective labor agreement is still valid
• Company has submit employment report
• Company already registered their worker union
• Company has implemented the employment requirement, such as minimum wage and social insurance
• There is an operator license which is still in the process of being extended/issued.
In general, there are no negative issues that need further clarification
Operator license has been explained in indicator 2.1.1 Representative of Plantation Agency of Kotabaru District
• The plantation class assessment is planned for February 2023
• Realization of plasma 283 Ha (20% not yet fulfilled) but there is already a FFB buying and selling partnership with the community
• There are no peat areas and incidents of land fires
• Realization of CSR is good and permits are complete
• Submission of routine reports has also been carried out
• Reports from the community regarding oryctes attacks on the plantation due to replanting activities
Auditor team has verified and has been explained in related indicator/criteria such as 4.3, 5.1, 1.1 etc.
Related to complaint regarding oryctes attacks on the plantation due to replanting activities, has been explained in indicator 4.2.3 and in indicator 3.4.2
PK transport contractor
• The company has provided socialization regarding the obligation to comply with regulations by contractors to contractor workers
• Wages for contractor workers refer to the applicable minimum wage
• Contractor workers have been included in the BPJS program
• There are no complaints to the company
There are no negative issues that need further verification
RSPO – 4006b/4.0/2804202 Page 87 Prepared by Mutuagung Lestari for PT Laguna Mandiri, Betung POM subsidiary of Sime Darby Plantation Berhad
Public Issues
(Institution/ NGO/Community) Auditor Verification
• All work and payments are in accordance with the agreement of both parties.
• The company has provided outreach regarding work procedures, OHS, RSPO and others. The contractor is also willing to be audited by an auditing agency if necessary.
Betung Village
• Company give assistance to village by submitted proposal.
• Company has give a visit to village for identifie the village need
• There is no environment pollution
• No land dispute or conflict issue.
• There was a report from the community regarding oryctes pest attacks in community areas caused by the company's replanting activities. Related to this, mediation has been carried out involving the company and the surrounding community. However, village officials did not know whether there had been any assistance or follow-up from the meeting.
Auditor team has verified and has been explained in related indicator/criteria such as 4.3, 3.4 etc.
Related to complaint regarding oryctes attacks on the plantation due to replanting activities, has been explained in indicator 4.2.3 and in indicator 3.4.2
RSPO – 4006b/4.0/2804202 Page 88 Prepared by Mutuagung Lestari for PT Laguna Mandiri, Betung POM subsidiary of Sime Darby Plantation Berhad