Palm oil in Indonesia
The Fair Work Monitor in Indonesia in 2025 was carried out in collaboration with Indonesian palm oil trade union F HUKATAN and palm oil union network JAPBUSI. In the provinces of Jambi and East Kalimantan, a total of 1,072 workers took part in the survey, providing valuable insights about their wages, living conditions, and labour rights.
In Jambi, many workers, especially daily labourers and those without union membership, earn below both the statutory minimum and the living wage. In Bungo, a quarter of workers report salaries more than Rp100,000 below the minimum, and nearly all fall short of a wage that would allow them to live in dignity. Low pay is closely tied to poor housing, food insecurity, high healthcare costs, and limited access to essential services. By contrast, East Kalimantan presents a somewhat more positive picture. Wages there are more uniform and generally meet sectoral minimums, thanks to stronger unions and active participation in wage councils. Yet also here, remote locations, high transport costs, and inflated local prices mean that earning the official living wage does not always guarantee security. Health challenges, food shortages, and children missing school persist.
→ Read the full report on palm oil in Indonesia, 2025
In 2026 we also conducted a Fair Work Monitor in Indonesia as part of the Siak Pelalawan Landscape Programme (SPLP). Through this programme, stakeholders from government, businesses, civil society organisations, and trade unions collaborate in the districts of Siak and Pelalawan, Sumatra, to promote a more sustainable and inclusive palm oil sector.
This report focuses on the 342 respondents who work on palm oil plantations and mills. They shared their experiences regarding wages, employment conditions, health and safety and overall well-being. The findings reveal significant gaps in wages, labour rights, and working conditions, gaps that are not evenly distributed. Casual workers and women are consistently worse off across almost every dimension covered in this survey, and the effects reach into their homes, their health, and their families. The findings provide trade unions with worker-driven evidence to support social dialogue, collective bargaining, and advocacy for better working and living conditions in the palm oil sector and provide companies with clear insights with regards to the labour challenges at stake.
→ Read the full report on palm oil in Indonesia, 2026