11/08/2012 (Daily Observer) - Malaysian oil palm giant, Sime Darby said it has employed additional 574 permanent workers from towns and villages in its concession counties of Grand Cape Mount and Bomi on June 23, 2012.

The latest number of employees brings to 3,700, the total number of the company’s workforce.

According to a statement signed Sime Darby’s Director of Communication, Mr. David Kolleh, “The 574 workers were hired from each house within 17 towns and villages. The company will continue to pay higher wages for its employees.”

The Labor Law of Liberia states that the daily wage for unskilled worker is US$3.50.00, but Sime Darby is paying US$5.51 per day for unskilled workers - about US$2.01 above the Labor Law requirement. This amount includes additional benefits for the workers, according to the company.

It was also communicated that employees are now enjoying clean and healthy working environment amidst daunting challenges it is experiencing to explain some details of the concession agreement to the people residing in the concession areas.

Sime Darby acknowledged that it is finding it challenging to explain its development plans to the people residing in the concession areas in Bomi, Cape Mount, and Gbarpolu counties as most of the people in these areas are unable to read or write.

“We have now begun hiring a number of locals to help interpret the agreement,” the statement said.

The oil palm company also clarified that it is also experiencing a huge challenge in doing business in a more organized and internationally accepted way in the concession.

Its clarification is informed by an article published in the Daily Observer yesterday highlighting a new report in which the company is accused of likely violating the terms of its concession agreement regarding environmental protection.

The report, which was released by the Center for International Conflict Resolution of Columbia University-School of International and Public Affairs, said Sime Darby needed to do a better job of maintaining good relations with community members inside its concession zone.

Tension had emerged among Sime Darby Management and residents in Grand Cape Mount and Bomi counties claiming alleged “illegal encroachment” on their property by the company.

The company denied the allegation and said that the land on which it is planting its oil palm falls within the concession area.

The nervousness led to Sime Darby, which signed a US$800 million dollars agreement oil palm and rubber development agreement with the government of Liberia in 2009, to temporarily shut down its operations.

Sime Darby’s concession areas are sitting on 220,000 hectares of land in its concession areas.

Many people blamed the government of Liberia for causing the problem, accusing it of failing to conduct education for the people about the concession deal.

Meanwhile, Sime Darby has vowed to always protect the environment in its concession area. According to it, environmental protection as well as the welfare of its employees at its oil palm nurseries in Grand Cape Mount and Bomi counties is cardinal.