Palm oil

Respecting labour rights in the palm oil sector

Palm oil is used in 50% of all consumer goods worldwide. Yet the people who produce it are often invisible. Millions of workers on plantations depend on the sector for their livelihoods, yet labour rights violations remain a reality in many production areas. 

CNV Internationaal works with local trade unions, companies, investors, and producers to address these challenges together. By strengthening social dialogue and freedom of association, we help turn commitments into measurable improvements for workers. 

Our network of local trade unions provides direct insight into workplace realities. We help companies and investors identify and mitigate risks, measure progress, and drive meaningful change. 

What is happening? Labour rights at risk

The most severe labour rights risks in the palm oil industry are: 

• Occupational health and safety hazards
• No living wage
• Gender discrimination and gender-based violence
• Child Labour
• Lack of freedom of association
• Informal work: many workers work without a written contract
• Absence of Collective Bargaining Agreements (CBA) on many palm oil plantations
• Forced Labour

The experience of Sainudin, an Indonesian palm oil worker illustrates how vulnerable palm oil workers can become trapped in cycles of exploitation and forced labour.

Fortunately harvester Sainudin found a better job on another plantation, he helped establish the first union in the region, CNV Internationaal supported the union with training, particularly on Human Rights Due Diligence, which has strengthened their resolve.

• Palm oil is found in 50% of all consumer goods worldwide, from your pizza to your soap bar and from cooking oil to biodiesel.
• In 2025, the Netherlands was the second-highest palm oil importer worldwide, with imports worth about 1.8 billion U.S. dollars.
• The industry is concentrated in Southeast Asia, with Indonesia and Malaysia together producing approximately 85% of global supply.
• Outside this region, Colombia is the largest producer.
• According to the United Nations Development Programme (UNDP), Indonesia's palm oil sector provides employment for approximately 3 million people and contributes significantly to national economic development. Beyond direct employment, millions of smallholder farmers and their families depend on palm oil cultivation as an important source of income.

Our approach

At CNV Internationaal, we believe that every worker should be able to work safely, earn a living wage, and have a voice in decisions that affect their livelihood. That is why we focus on strengthening worker representation, social dialogue, and freedom of association throughout the palm oil sector. 

Drawing on our expertise and our extensive network of local trade unions, we help facilitate meaningful social dialogue between workers and employers. Together, we identify risks, develop practical solutions, and drive lasting improvements. 

Workers need representation to be heard. Without independent trade unions, workers' rights are at risk. Yet union membership remains low in many palm oil plantations. CNV Internationaal supports and trains trade unions so they can effectively represent workers and engage in constructive dialogue with employers.

We work with trade unions, companies, governments and stakeholder networks such as the Roundtable on Sustainable Palm Oil (RSPO) to address labour rights challenges through a collaborative, stakeholder-driven approach. 

By strengthening workers’ voices and promoting responsible business practices, we help turn commitments into real improvements: safer workplaces, fairer wages, and greater respect for labour rights.

Fair Work Monitor

Getting reliable insight into labour conditions on palm oil plantations is challenging for investors and brands. That’s why CNV Internationaal developed the Fair Work Monitor—a practical tool that measures key indicators such as wages, contracts, gender equality, and freedom of association directly from workers’ perspectives.

By using the Fair Work Monitor, companies and stakeholders can:

1. Identify risks in their supply chain.
2. Track progress on improving labour rights.
3. Engage in social dialogue based on real data.

Collaborations

To increase impact, CNV Internationaal collaborates with: 

• The Dutch ministry of Foreign Affairs under the Trade Union Co financing Programme (TUCP), supporting local trade union Hukatan. 
  
• Proforest in the Siak–Pelalawan Landscape Programme (SPLP) and with Kaleka, ASD and Nestle in the Mosaik Landscape Programe in Kalimantan. Learn more
  
• Kaleka, ASD and Nestle in the Mosaik Landscape Programe in Kalimantan 
  
• RSPO and Oxfam: Together with Oxfam we implement a RSPO outreach program in Guatemala and Honduras on labour and community rights. Learn more

RSPO-partnership

CNV Internationaal officially became a member of the Roundtable on Sustainable Palm Oil (RSPO) in early 2021, following prior engagement by its Indonesian partner trade union Hukatan, which joined in 2019. 

Within RSPO we aim to strengthen the voice of workers to improve labour rights, safety, and freedom of association for workers in global palm oil supply chains. CNV Internationaal is a member of the RSPO Human Rights Working Group and the Living Wage Taskforce.  

CNV Internationaal developed a policy note addressed to RSPO members presenting Fair Work Monitor findings from palm oil supply chains in Central America and Indonesia, offering evidence-based guidance on strengthening labour practices and supporting meaningful social dialogue within the RSPO framework.

> Download - Roundtable on Sutainable Palm Oil Policy Note 2025

Our impact

Strengthening Workers' Voices for Lasting Improvements 

Following this approach CNV Internationaal works alongside trade unions and workers in Indonesia to ensure that workers have a stronger voice in the palm oil supply chain. 

Agus Budimansyah, trade union leader at PT Pataware palm oil plantation in this video explains the value of the collaboration with CNV Internationaal