Reversal of Forced Labor Finding Followed Several Actions From Top Glove
The CBP modification of its forced labor finding on Top Glove imports from Malaysia followed several actions by the company to remedy forced labor indicators, the agency said Sept. 10. “CBP modified a Finding after thoroughly reviewing evidence that Top Glove has addressed all indicators of forced labor identified at its Malaysian facilities,” CBP Acting Commissioner Troy Miller said. “Top Glove’s actions in response to the Withhold Release Order, which include issuing more than $30 million in remediation payments to workers and improving labor and living conditions at the company’s facilities, suggest that CBP’s enforcement efforts provide a strong economic incentive for entities to eliminate forced labor from their supply chains.”
A modification by CBP means the agency found that the indicators of forced labor were resolved, whereas a revocation would mean that CBP determined a company wasn't engaged in forced labor practices. The action marks the first CBP modification of a finding since 1994, said law firm Benjamin L. England & Associates, which represented Top Glove. The effort on Top Glove's behalf included "countless late-night video conference calls and thousands of documents to prepare, review, and present to demonstrate to a relentless CBP that any Forced Labor indicators present had been resolved and that Top Glove deserved this favorable outcome," the law firm's customs and trade practice leader Jessica Rifkin said.
The company "made a real commitment to becoming the industry leader in this space, and the Top Glove team worked incredibly hard and put in many long hours to resolve CBP’s concerns," Rifkin said in an email. "On our side, our firm’s prior work in the WRO space, our relationships with the government agencies, and our integrated Customs and FDA law practice enabled us to work with CBP and Top Glove very fluidly. Ultimately, Top Glove’s success is a win for everyone – including CBP – as it shows that working cooperatively with CBP is a very effective way to resolve these types of actions.”
Top Glove also said it was pleased with the modification and that it "is clear and allowed to resume exporting and selling gloves" to the U.S. The company submitted an independent audit last year after CBP issued a withhold release order (see 2009080041).