The move to terminate the services of the labour supply company comes in the wake of an exposé by The Guardian on the working conditions of Samsung’s migrant workers in Malaysia.

In a statement, Samsung said it had conducted an on-site investigation of the labour supply companies it engaged and its migrant workers.

“Based on this investigation, we identified one of our labour supply companies to be in violation of the hiring process of migrant workers. As a consequence, we terminated our contract with this company.”

“The remaining labour supply companies are under investigation,” it said.

Samsung also said it would be introducing new migrant worker guidelines which were developed with the NGO, Business for Social Responsibility.

The guidelines are aimed at eradicating any existing or potential for forced labour and human trafficking of foreign workers either at Samsung or any of its suppliers.

“We will be strictly applying and implementing these guidelines across our global operations as well as among our suppliers,” it said

Last month, The Guardian highlighted the plight of the foreign workers of Samsung and Panasonic in Malaysia, who claimed their passports were confiscated and that they were denied rest, including toilet breaks, in order to earn enough to pay their recruitment fees.

Subsequently, both companies launched investigations into the allegations and said they did not allow the confiscation of passports or charging foreign workers recruitment fees.

Earlier this month, McDonald’s Malaysia also dropped a labour supply company it engaged following reports that its migrant workers were underpaid and housed in appalling conditions.

Santiago: Expose on exploitation of migrant workers ‘heartbreaking’