KUALA LUMPUR — Dyson supplier ATA IMS Bhd said on Friday it is taking seriously allegations of forced labor in an audit summary it received from the high-end home appliance maker, and claims of physical abuse raised by a former worker.
ATA’s statement came after Reuters on Thursday reported major client Dyson was cutting ties with the Malaysian company, sending its shares tumbling..
The manufacturer said as soon as it was notified of Dyson’s audit, it immediately appointed a firm of consultants to review and verify the findings and to take any necessary remediation steps. It did not detail who it hired.
ATA said it has also appointed a law firm in Malaysia to conduct an independent review of the allegations of physical abuse by the former worker, and a detailed report and the findings will be finalized soon.
“The preliminary findings of the independent law firm indicates that the allegations may be unjustified,” it said.
Dhan Kumar Limbu, a former ATA worker, told Reuters https://www.reuters.com/business/exclusive-dyson-terminates-relationship-with-malaysian-supplier-ata-over-labor-2021-11-25 ATA officials took him to a police station in June where he was questioned about sharing information about conditions at the factory with activists and then beaten by police. Malaysian police did not respond to a request for comment.
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