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Wage Transparency Key to Retaining Palm Oil Harvesters



Doc. InfoSAWIT
Wage Transparency Key to Retaining Palm Oil Harvesters

InfoSAWIT, JAKARTA – Retaining skilled palm oil harvesters is becoming an important human resources challenge for plantation companies, with transparent wage and incentive calculations emerging as one factor that can influence workers’ decisions to stay or move to another employer.

The issue was highlighted by Harry Agug Pratama, Head of HR Business Partner & Organisation Development at PT Pasifik Agro Sentosa, during IPS Planter Talks 2026 Series 1, themed “Palm Oil Human Resources Emergency,” attended by InfoSAWIT on Saturday, September 19, 2026.

Harry said the company’s assessment identified several factors that can influence harvesters to leave or change employers. Besides income, relationships with supervisors, family circumstances and individual needs can also affect workers’ decisions.

When it comes to income, harvesters do not only consider their basic salary. They also pay close attention to how incentives are calculated and how much money they ultimately take home.

For this reason, PT Pasifik Agro Sentosa has implemented a progressive incentive scheme, in which workers receive additional incentives as their harvesting performance increases beyond a defined baseline.

 

Transparency Builds Worker Trust

Harry emphasized that transparency and consistency in wage calculations are particularly important because harvesters come from diverse educational backgrounds.

Workers need to understand how their earnings are calculated, including the basis for incentives and any deductions applied by the company. Clear information can help prevent misunderstandings and give workers a better picture of their potential income.

Beyond the incentive system, the company also seeks to provide greater certainty regarding working days, harvesting areas, fruit availability and personal protective equipment.

According to Harry, these factors can influence workers’ perceptions of how much income they can realistically earn. A transparent payment system therefore needs to be supported by clarity over the working conditions that affect productivity.

 

Retention Goes Beyond Higher Pay

The approach suggests that retaining harvesters is not solely a matter of increasing wages. Clear calculations, consistent payments and workers’ understanding of the remuneration system are also part of building trust between employees and plantation management.

For plantation companies, greater transparency can become an important component of workforce retention, particularly when harvesters receive offers from competing plantations.

As the palm oil industry faces ongoing challenges in maintaining an adequate workforce, companies are increasingly required to look beyond recruitment. Creating a remuneration system that workers can understand and trust can be part of a broader strategy to retain experienced and productive harvesters. (T2)


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