Myo Thein
Workers told the Industrial Workers’ Federation of Myanmar (IWFM) that Myanmar LNY (2) CAPS Co., Ltd., a cap factory, is demoting workers, transferring them between departments, and cutting wages.
“The factory itself hired us as sewing workers. When they decide they don’t like anymore, sewing workers are downgraded to trimming jobs. Supervisors are downgraded to line leaders, and line leaders are downgraded to sewing workers. Wages are cut and departments are changed. Worse than that, some workers are simply dismissed without any compensation,” workers said.
Workers said that because the factory constantly makes changes to workers’ roles and positions, production output has dropped, and supervisors’ and line leaders’ wages are then cut as a result.
“They keep firing people, hiring new workers, and changing line schedules, so production never improves. When output doesn’t increase, they cut the pay of supervisors and line leaders. They demand the same production targets from everyone, even pregnant workers. There are employment contracts, but when workers are harmed and report to labor offices, the offices side with the employers. That’s why people don’t report anymore and just quit. The factory doesn’t provide any support at all and does whatever it wants when output doesn’t meet expectations, no matter how long workers have been employed,” workers said.
Workers said that the factory claims if piece-rate pay for a card exceeds the set skill allowance, they will be paid by piece rate instead. However, because workers are constantly moved to different departments to fill gaps, they cannot meet the set targets and end up being demoted or having their wages cut.
“When new workers were hired, they promised salary plus allowances within three months. But once we actually started working, the allowances were never paid. Another issue is that overtime cannot be refused. When overtime is called, there is no right to say no. Pressure and coercive language are used. Taking leave is also not easy. When we want to take leave, we don’t even know who has the authority to approve it,” workers said.
Workers also said the factory manager goes to labor offices, consults with officials, and then uses that backing to further pressure workers.
“After taking advice from labour officials, the factory increases pressure on us. Our labour rights are being violated, our wages are being exploited, we are forced to work without dignity, and our human rights are being taken away,” workers said.
According to workers, the factory’s working hours are from 8:00 a.m. to 8:00 p.m. On Saturdays, work continues until 6:30 p.m., and workers are also required to work on Sundays.
Myanmar LNY (2) CAPS Co., Ltd. cap factory is located at the corner of Makhaya Min Thar Gyi U Phyo Road and Depayin Wundauk U Myae Road, Industrial Zone (2), Hlaingtharyar Township, Yangon. More than 750 workers are employed at the factory. Workers said it makes caps for U.S. brands including DKPS, EXPLOSION, OTTO, and Milwaukee.
