NEWS

Myanto Garment Factory Forcing Workers to Sign Pledges Without EC Contracts

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By Ma Ma - Jan 23, 2025

Workers from Myanto Industrial Co., Ltd., garment factory, have reported that the factory is operating without an Employment Contract (EC) agreement between employers and employees. Instead, the management has imposed unilateral rules and is forcing workers to sign pledges under threat if they fail to comply, according to factory workers.

The factory, owned by Chinese national, is located on Mya Khatter Road in the Mya Sein Yaung Industrial Zone, Hlaing Thar Yar Township, Yangon. It employs over 600 workers and manufacture October and AMISU fashion brands. Workers have said the factory does not have a trade union in place and is involved in exploitative practices.

"The factory has been open for nearly two years, and there’s still no EC contract. The management sets unilateral rules, and we forced to sign pledges if we can’t follow them. The wages, including base pay and subsidy, total 8,800 MMK per day, with an attendance bonus of 20,000 MMK, and skill-based pay ranges from 20,000 MMK to 60,000 MMK. However, when it comes to payday, deductions are made for failing to meet production targets. Additionally, there is pressure and mistreatment in the workplace," a factory worker said.

Each production line consists of only about 50 workers, but the management demands they produce over 800 garments per hour. Workers are required to sew two to three points on each garment, which has become increasingly difficult for them to manage. Furthermore, supervisors (line leaders) on Line No. 9 are reported to verbally abuse workers if production targets are not met.

"There are also daily wage workers. They are forced to work overtime but are only paid 8,500 MMK per day. The factory says they will offer permanent contracts after three months, but that never happens. Supervisors and line leaders call them in to work overtime on Sundays if we fail to meet the targets. They do this every week. They tell us not to come to work at all if we can’t work overtime. Currently, we have to work every Sunday, and we don’t get any leave. They deduct daily wages, subsidies, and attendance bonuses. There is a shortage of medicine, and the clinic's nurse was assigned unrelated tasks, which eventually led her to resign." another worker said.

The workers have sought help from the Industrial Workers Federation of Myanmar (IWFM) to address their grievances. They are calling for production targets that align with what workers can reasonably achieve, for no additional targets to be imposed due to worker absences, for the right to take legally mandated leave, for Sunday overtime to stop, and for EC contracts to be signed, the factory to stop enforcing unilateral rules and forcing workers to sign pledges, provide sufficient medical care and assign a qualified nurse, and pay skill-based wages and allowances fairly and accurately.


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