Nestle confirms labor abuse among its Thai seafood suppliers

[webfact]

Nestle confirms labor abuse among its Thai seafood suppliers
MARTHA MENDOZA, AP National Writer

WASHINGTON (AP) — Impoverished migrant workers in Thailand are sold or lured by false promises and forced to catch and process fish that ends up in global food giant Nestle SA's supply chains.

The unusual disclosure comes from Geneva-based Nestle SA itself, which in an act of self-policing announced the conclusions of its yearlong internal investigation on Monday. The study found virtually all U.S. and European companies buying seafood from Thailand are exposed to the same risks of abuse in their supply chains.

Nestle SA, among the biggest food companies in the world, launched the investigation in December 2014, after reports from news outlets and nongovernmental organizations tied brutal and largely unregulated working conditions to their shrimp, prawns and Purina brand pet foods. Its findings echo those of The Associated Press in reports this year on slavery in the seafood industry that have resulted in the rescue of more than 2,000 fishermen.

The laborers come from Thailand's much poorer neighbors Myanmar and Cambodia. Brokers illegally charge them fees to get jobs, trapping them into working on fishing vessels and at ports, mills and seafood farms in Thailand to pay back more money than they can ever earn.

"Sometimes, the net is too heavy and workers get pulled into the water and just disappear. When someone dies, he gets thrown into the water," one Burmese worker told the nonprofit organization Verite commissioned by Nestle.

"I have been working on this boat for 10 years. I have no savings. I am barely surviving," said another. "Life is very difficult here."

Nestle said it would post the reports online — as well as a detailed yearlong solution strategy throughout 2016 — as part of ongoing efforts to protect workers. It has promised to impose new requirements on all potential suppliers and train boat owners and captains about human rights, possibly with a demonstration vessel and rewards for altering their practices. It also plans to bring in outside auditors and assign a high-level Nestle manager to make sure change is underway.

"As we've said consistently, forced labor and human rights abuses have no place in our supply chain," Magdi Batato, Nestle's executive vice president in charge of operations, said in a written statement. "Nestle believes that by working with suppliers we can make a positive difference to the sourcing of ingredients."

Nestle is not a major purchaser of seafood in Southeast Asia but does some business in Thailand, primarily for its Purina brand Fancy Feast cat food.

For its study, Verite interviewed more than 100 people, including about 80 workers from Myanmar and Cambodia, as well as boat owners, shrimp farm owners, site supervisors and representatives of Nestle's suppliers. They visited fish ports and fishmeal packing plants, shrimp farms and docked fishing boats, all in Thailand.

Boat captains and managers, along with workers, confirmed violence and danger in the Thai seafood sector, a booming industry which exports $7 billion of products a year, although managers said workers sometimes got hurt because they were drunk and fighting. Boat captains rarely checked ages of workers, and Verite found underage workers forced to fish. Workers said they labor without rest, their food and water are minimal, outside contact is cut off, and they are given fake identities to hide that they are working illegally.

Generally, the workers studied by Verite were catching and processing fish into fishmeal fed to shrimp and prawns. But the Amherst, Massachusetts-based group said many of the problems they observed are systemic and not unique to Nestle; migrant workers throughout Thailand's seafood sector are vulnerable to abuses as they are recruited, hired and employed, said Verite.

Monday's disclosure is rare. While multinational companies in industries from garments to electronics say they investigate allegations of abuse in their supply chains, they rarely share negative findings.

"It's unusual and exemplary," said Mark Lagon, president of the nonprofit Freedom House, a Washington-based anti-trafficking organization. "The propensity of the PR and legal departments of companies is not to 'fess up, not to even say they are carefully looking into a problem for fear that they will get hit with lawsuits," he said.

In fact, Nestle is already being sued: In August, pet food buyers filed a class-action lawsuit alleging Fancy Feast cat food was the product of slave labor associated with Thai Union Frozen Products, a major distributor. It's one of several lawsuits filed in recent months against major U.S. retailers importing seafood from Thailand.

Some of the litigation cites the reports from the AP, which tracked slave-caught fish to the supply chains of giant food sellers, such as Wal-Mart, Sysco and Kroger, and popular brands of canned pet food, such as Fancy Feast, Meow Mix and Iams. It can turn up as calamari at fine restaurants, as imitation crab in a sushi roll or as packages of frozen snapper relabeled with store brands that land on dinner tables. The U.S. companies have all said they strongly condemn labor abuse and are taking steps to prevent it.

Nestle promises to publicly report its progress each year.


-- (c) Associated Press 2015-11-24

[thesetat2013]

What is the point of doing a report yet taking no drastic measures to resolve the problem. They should impose a ban a year and during that year conduct more investigations. At the very least this report will go a long way into their losing the court cases they have pending

[Laughing Gravy]

Oh dear. I can feel a complete denial coming. Then a selection of committees formed to fix the problem with a form of apology saying "it won't happen again. We have cleaned our act up"..

[toybits]

I hear the gears of an over-reaction grinding into action...

[taninthai]

It's took them a year long investigation to tell us what we already know?

[IMA_FARANG]

In true Corporate Capitalism ethics is never allowed to get in the way of shareholders profits.

That is one of the Golden rules of Capitalism.

People are less valuable than profits.

No Corporate CEO will ever be dismissed for ethics violations, but not making the quarterly profit forecast will get you fired.

Edited November 24, 2015 by IMA_FARANG

[kaorop]

Humans being abused or killed to feed cats, propagated by a huge multinational in an abusive country! Disgusting

No action?, then I wont buy any nesltes product again

[Prbkk]

Some of Thailand's wealthiest families are heavily involved in this "chain", including those who are pleased to be described as part of the elite.

[shirtless]

Maybe time for a boycott , Thailand and these corporations will only change if they stand to lose money. forget ethics

[jonclark]

Maybe time for a boycott , Thailand and these corporations will only change if they stand to lose money. forget ethics

Just don't tell em why you're boycotting em or you'll be sued for defamation.

[DirtyDan]

Don't over look this one point: Nestle is the one blowing the whistle here!

They're admitting anyone that does buying here in LoS is opening themselves up to the slavery issue. The American legal system is making it so the Corporations can't be honest with their findings... Nestle went out and actually traced the roots of their supply chain only so some sleazy attorneys and their starry-eyes clients can fulfill their get-rich-quick fantasies. The article says class actions suits have already been brought forth by pet food purchasers in the US, how will that help the people currently chained in boats here?

Now, if Nestle continues to buy from slavers after publishing their findings, then we talk boycott.

PS IMA FARANG: Recent CEOs canned for ethics violations - 2015 United Airline's for the unprofitable routes solely for government officials (investigation pending), 2011 BP's CEO after the Macondo blowout. Corporations are owned by their shareholders - regular people - that should hold their company's executive accountable for ethics.

Edited November 24, 2015 by DirtyDan

[Assurancetourix]

Some of Thailand's wealthiest families are heavily involved in this "chain", including those who are pleased to be described as part of the elite.

Right;

have a look here

http://www.asiasentinel.com/econ-business/greenpeace-outraged-thailand-tuna-fleet/

[bubblegum]

Nestle, who's CEO stated that people do NOT have the right to clean, FREE drinking water !!!

[GiantFan]

If this goes into fish meal for prawns, need to look here as well. Otherwise, boats get reregistered in Cambodia,

unregulated, so practice doesn't change and fish meal is sold back to LoS.

[user82374298374]

Being that they're Nestle, they should just make their own fish out of chocolate - problem solved!

[Lorn]

Being that they're Nestle, they should just make their own fish out of chocolate - problem solved!

They've also done nothing to stop the child slave labour in the coffee and chocolate industry.

[simon43]

... and assign a high-level Nestle manager to make sure change is underway

Well, if that requires travel within Thailand, he/she better bring a bulletproof vest

Oops just remembered - they are illegal for civilians who are at risk of getting shot

[Lupatria]

That finally explains yesterday's 'advertorial' in the Nation,

[Bangkok Barry]

To those who can't read and said that Nestle are doing nothing and they'll boycott the company:

Nestle said it would post the reports online — as well as a detailed yearlong solution strategy throughout 2016 — as part of ongoing efforts to protect workers. It has promised to impose new requirements on all potential suppliers and train boat owners and captains about human rights, possibly with a demonstration vessel and rewards for altering their practices. It also plans to bring in outside auditors and assign a high-level Nestle manager to make sure change is underway.

"As we've said consistently, forced labor and human rights abuses have no place in our supply chain," Magdi Batato, Nestle's executive vice president in charge of operations, said in a written statement. "Nestle believes that by working with suppliers we can make a positive difference to the sourcing of ingredients."

[chainarong]

Some of Thailand's wealthiest families are heavily involved in this "chain", including those who are pleased to be described as part of the elite.

Christ I thought you were talking about me there for a second

[springheeled jack]

nestle are now owning up to the fact that they were involved in the employment of slave labour for their produce ie seafood .

[Alration]

Good god, some posters really need to read the OP properly and try to understand what it is actually about.

[Thai at Heart]

P

... and assign a high-level Nestle manager to make sure change is underway

Well, if that requires travel within Thailand, he/she better bring a bulletproof vest

Oops just remembered - they are illegal for civilians who are at risk of getting shot

Purina has a factory in Chachoengsao...Nestle already has foreign managment in the country. Lots of them

[Alration]

With all the calls for a boycott by some Thaivisa members, Nestle execs must be surely be having some emergency meetings to discuss how they can stop the company's share price from freefall as a result.

[dhream]

Just don't buy their shit. And it IS shit. They buy up brands, like Milo and KitKat then turn them into cheap and very nasty versions of what made them great to begin with. Vote with yer money, ladies.

[dhream]

Good god, some posters really need to read the OP properly and try to understand what it is actually about.

And learn What? This Swiss based behemoth has a list of profits before (very poor) people, young 3rd world mums in particular, that would make Peter Sutcliffe blanche. I'm in the mood for dusting off the DMs and these tossers will do nicely thank you. Breaking news VW love you, pictures of der fuhrer at eleven. Edited November 24, 2015 by dhream

[dhream]

In true Corporate Capitalism ethics is never allowed to get in the way of shareholders profits.

That is one of the Golden rules of Capitalism.

People are less valuable than profits.

No Corporate CEO will ever be dismissed for ethics violations, but not making the quarterly profit forecast will get you fired.

True, but every one of those psychopaths negotiate a sweet severance even if they are totally incapable of running to the bathroom, never mind running a company. They don't get to be ceo by writing to the make a wish foundation. They are more or less serial killers who never actually kill anybody. Want an example in recent memory? Wannabe POTUS amd ex corporate demolition-dame, Carly Fiorina is just warming up! Lest ye imagine I have it in for the girls, UKs Private Eye magazine had a regular feature on these types, showing the company value when they arrived, and the company value when they left. And I think they included laughing boys severance deal. I'll never bag Thai corruption again after recalling some of those handsomely rewarded disasters. We Snafu with the best of them, it's just more sophisticated graft back home. Edited November 24, 2015 by dhream

[Somtamnication]

Careful, Nestle. You might get sued for defamation!!

[ALLSEEINGEYE]

Some of Thailand's wealthiest families are heavily involved in this "chain", including those who are pleased to be described as part of the elite.

as well as some who are pleased to say they are opposed to the elite.

Same s#!t different pile.

[dhream]

Don't over look this one point: Nestle is the one blowing the whistle here!

They're admitting anyone that does buying here in LoS is opening themselves up to the slavery issue. The American legal system is making it so the Corporations can't be honest with their findings... Nestle went out and actually traced the roots of their supply chain only so some sleazy attorneys and their starry-eyes clients can fulfill their get-rich-quick fantasies. The article says class actions suits have already been brought forth by pet food purchasers in the US, how will that help the people currently chained in boats here?

Now, if Nestle continues to buy from slavers after publishing their findings, then we talk boycott.

PS IMA FARANG: Recent CEOs canned for ethics violations - 2015 United Airline's for the unprofitable routes solely for government officials (investigation pending), 2011 BP's CEO after the Macondo blowout. Corporations are owned by their shareholders - regular people - that should hold their company's executive accountable for ethics.

Nice fantasy, show me one single 'regular guy' who has more shares, and hence voting rights than ' investors' such as Macquarie, 'Golden Sacks' et al. They all sit on each others boards, and for all we know each others dicks. 2009 taught the average punter nothing, guess who'll pay for that oversight in the next 6-12 months. Not them! That's what PAYE worker bees are for. The ones that walked got off lightly, failure at that level should mean jail, because the profitsvor rewards are commensurate with that. When these guys screw up they often take working families to the trailer Park. So make them accountable for the wad they trouser every year.