NEWS

ETERNAL FASHION garment factory neglects workers’ rights and operates without accountability

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By Hsu Latt Phyu - Oct 29, 2024

Workers from ETERNAL FASHION CO., LTD garment factory, located on Anawrahta Main Road in the Anawrahta Industrial Zone, Hlaing Thar Yar Township, Yangon Region, report that their rights are being violated, with little accountability from management.

The factory is owned by a Chinese national and lacks a trade union to address workers' issues. Although there is a workplace coordination committee (WCC), workers claim it is composed solely of members selected by the employer, rather than representing the interests of the workers.

The factory manufactures products for brands such as  balabala, SEMIR, CN: L, EUR:M,US:M, EST.1990, MADE INCHINA and mini  brands with orders primarily coming from Japan. The facility spans three floors, with nearly 4,000 workers per floor, totaling around 10,000 employees.

Workers are required to work overtime daily, with three hours of mandatory overtime imposed across the entire workforce, regardless of individual start and end times.

In terms of wages, the factory reportedly provides standard payments such as daily wages, allowances, expert fees, ticket fees, and monthly attendance allowances.

On Monday, October 21, a factory ferry transportation vehicle was involved in an accident near the Hlaing Thar Yar Yoe Gyi bus stop, colliding with another vehicle. There were 45 workers on board, and the driver whose head was cracked was taken to an emergency hospital. Among the workers, one required abdominal surgery, one suffered a broken arm, and several others sustained facial and other injuries.

The following day, October 22, workers had to stay for overtime until dawn and were transported home at 5 AM. One worker was struck by a taxi while crossing the street and sustained a serious head injury, requiring hospitalization.

“The issue we want to raise is that excessive overtime is putting workers' lives at risk, leading to frequent injuries. The employer provided support for those hospitalized in Insein Hospital, including the worker who was injured while crossing the road after returning from overtime. However, they have refused to cover medical expenses for other injured workers who were in the first accident but were not admitted as inpatients. The employer even told injured workers who couldn’t return to work that they could take leave but their absence would be marked and would not be paid,” a worker explained.

"Beyond this, we are forced to meet high production demands and work excessive overtime. We return home late, often without sufficient sleep, and sometimes have to work through Sundays without a break. The injuries and health risks are increasing as a result. Even when issues like these arise, authorities do not take serious action to investigate or resolve them but workers are suffering from consequences," the worker added.

During the Thadingyut holiday, the factory collected 25,000 kyats from each worker as a vernation for superiors. Although the management later ordered that this money be refunded after the issue was reported, workers said they only received 1,500 kyats back.

“HR from Factory 1’s second floor claimed that they had invested it in gold and would need to sell it to return the money. They have yet to return the funds, despite holding meetings about it. Workers are afraid to report this to higher authorities because they were told they could face termination,” said a worker who wished to remain anonymous.

Workers who stayed during the Thadingyut holiday were promised a holiday bonus of 15,000 kyats and a subsidy of 10,000 kyats. However, those who worked overtime on October 15, 16, 18, and 19 said they received only the 15,000 kyats overtime pay, without the promised snack allowance.

Additionally, starting in October 2024, the factory has stopped paying the expert fees, announcing that these bonuses will only be awarded if output demands are meet.

"These aren’t the only issues. They are interviewing new workers, but for lines where there are disliked workers, they cut positions, reshuffle line leaders, and transfer those workers to other lines. This pressure leads some workers to resign. They’re hiring new people while pushing out older employees for various reasons,” said a worker about the current workplace environment.

Current employees report that the excessive overtime requirements are causing injuries and that they are facing constant violations of their rights. Workers say they are not only losing out on fair overtime pay but are also left unsupported for injuries sustained on the job, leading to considerable hardship.

The workers are having difficulties due to the lack of accountability from the factory and their

 demands are as follows:

  1. To cover medical expenses for all workers injured in the vehicle accident.
  2. To grant paid leave for workers who are unable to return due to injuries sustained in the accident.
  3. To stop calling mid-night and all-night overtimes and to give day off on Sunday.
  4. To refund the 25,000 kyats collected during the Thadingyut holiday.
  5. To provide the promised snack allowance of 10,000 kyats to those who worked during the Thadingyut holiday.
  6. To reinstate the expert fee as they were previously awarded.
  7. To cease frequent abolishment of production lines and the replacement of experienced workers with new hires.

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