New Monitoring Cycle in Honduras and Guatemala on Palm Oil

Honduras: Commitment to Fair Work

Honduras is a top palm oil producer in Central America. In 2024, the Fair Work Monitor assessed the working conditions at seven companies, of which six are RSPO certified, based on eight fair work indicators. Findings are helping to strengthen the palm oil sector in Honduras, promote due diligence, and support informed collective bargaining.

The key findings of this monitor were:

• A low level of social dialogue was reported within the companies, as many companies lack effective mechanisms to resolve grievances or conflicts.

• Only one worker mentioned the existence of a current collective bargaining agreement. 99% of the workers were not consulted on important labor decisions.

• 77% of the workers said that there were no trade unions within the companies. 47% of the workers has reported anti-union behavior.

• 85% of the workers earn below the minimum wage in Honduras.

• 47% of the workers do not have protective equipment, although most reported a high exposure to dust, heat and sunlight during their work.

• 65% of the worker mention that their overtime work is never appropriately compensated.

Guatemala: Listening to Workers' Voices

Guatemala is the world’s third-largest palm oil producer. In 2024, the Fair Work Monitor, which involved 65 workers, revealed concerns about issues like discrimination, fair pay, child labor and workplace safety. The findings aim to guide efforts to strengthen labour rights in the country’s palm oil sector.

The key findings of this monitor were:

• 94% of the workers report the absence of direct communication channels with their employer.

• 85% of the workers do not receive payment for overtime hours that they work. There is an overall lack of compensation for labour load, as a notable portion of workers report working 60-hours week, far above the standard 40-hour week. 43 participating workers report that they are compelled to work longer than allowed by the law.

• Occupational health and safety levels are generally rated as bad by the workers. Only 2% report that there are aware of an OHS-committee at work.