SHAH ALAM, Malaysia—Top Glove Corp. will more than double the amount it will repay migrant workers for recruitment fees, following recommendations by independent consultants.
The Malaysian group revised the total remediation sum to $32.7 million. It previously allocated $12.7 million.
The remediation will be paid out over the next 10 months, starting with October. Top Glove said it already had completed two rounds of remediation payments in August and September.
Top Glove said it has submitted the necessary information to the U.S. customs and border protection agency.
On July 15, the CBP placed a detention order on disposable gloves manufactured by two Top Glove subsidiaries for the suspected mishandling of its migrant work force. At the time, Top Glove said the issue specifically involved recruitment fees paid by foreign workers to employment agents.
But the glove maker maintained that it had been bearing all recruitment fees since the adoption of "zero-cost recruitment" policy since the beginning of 2019.