GAPKI Launches PKH Guidebook to Strengthen Fair Labor Practices in Palm Oil Industry

Palm Oil Magazine
Sumarjono Saragih, Head of Human Resource Development at GAPKI, emphasized the importance of properly implementing PKH to ensure fair treatment for both workers and employers. Photo by: Special

PALMOILMAGAZINE, JAKARTA – The Indonesian Palm Oil Association (GAPKI) has officially launched a guidebook on Perjanjian Kerja Harian (PKH) or Daily Work Agreements as part of efforts to improve labor practices in the palm oil sector. Titled PADU PERKASA (Panduan Umum Perjanjian Kerja Harian Sawit Berkelanjutan), the guide was developed in collaboration with various stakeholders, including labor unions and NGOs.

Sumarjono Saragih, Head of Human Resource Development at GAPKI, emphasized the importance of properly implementing PKH to ensure fair treatment for both workers and employers. “Flexibility in PKH is a reality in both national and global labor markets. However, it is essential to ensure that this practice upholds workers’ rights and aligns with the principles of decent work in a sustainable palm oil industry,” he told Palmoilmagazine.com on Thursday, March 20, 2025.

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PKH is a new term replacing the previous Buruh Harian Lepas (BHL) or Casual Daily Workers, in accordance with Government Regulation No. 35/2021 on Employment Agreements. For years, the BHL system has been a critical issue among labor unions and NGOs. In response, GAPKI initiated the development of this guide to help oil palm plantation owners of all scales understand and comply with PKH regulations.

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PADU PERKASA is the third publication in GAPKI’s labor guidelines series. The first guide focused on Women Worker Protection, while the second covered Child-Friendly Palm Oil Practices in Indonesia. The development of this latest guide involved multiple stakeholders, including Serikat Buruh Jejaring Pekerja dan Buruh Sawit Indonesia (JAPBUSI) and the Earthworm Foundation, which has conducted extensive research on BHL workers.

“Multi-stakeholder collaboration is crucial in creating a fairer labor system. GAPKI has actively engaged with labor unions and NGOs since 2018 through social dialogue,” Sumarjono added.

The PADU PERKASA guide is expected to serve as a key reference for plantation companies in implementing PKH in compliance with regulations while supporting sustainability principles in the palm oil industry. The digital version of the book is available for download at www.wispo.id. (P2)

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