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Unethical illegal wages cutting and labor rights violations in November

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Unethical illegal wages cutting and labor rights violations in November

By Min Ni Kyaw

Myanmar Labor News reports 33 news, articles and violations of workers' rights that occurred in the factories. Among them, 10 are news, 3 are articles 20 are news of 19 factories.

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Figure 1 – News reported of the factories where workers’ rights violated during November.

Ethic violations 

Among the news that was mentioned, there was a news reported about the violated ethics, and in this news, the gap in the relationship between the workers and the officials of the factory was also evident. The news was reported in November when a worker told Myanmar Labor News that a supervisor was misusing the workers’ cut wages.

It is said that the supervisor who took a cut of the workers' money is in charge of the garment factory's finishing department, and there are 3 departments under his supervision. There are more than 80 workers in each department, and the workers said that the supervisor took not only the clothing bonus but also cut the wages.

When some workers found out that the supervisor was misusing the cut wages, they held a meeting and said that they would continue to take cuts until next March. The person who suffered reported to Myanmar Labor News and complained as they cut and misuse more than three times before November. 

He said that the amount of money that was taken was between 60,000 kyats and 80,000 kyats each time. The supervisor did not tell the workers at all about taking such a cut. Some of the workers who found out that the supervisor was cutting money from the workers left their jobs, and there were more than 100 workers in the three departments at the time of the complaint, and only about 80 workers were left by the time they reported.

The workers said that the factory said that they will continue to cut wages for Kahtine merits and Thingyan. It is also reported that the supervisor intimidated that he will handle with the people who are not satisfied with that. 

Difficult for the workers to complain

The wages cut are the outliers and bonuses that each individual receives, ranging from two hundred kyats to less than one thousand kyats. It is said that in normal on the first round of wage settlement, the factory side has not yet added the outliers of less than one thousand kyat, but the overrun will be cleared in the next one or two days.

He said that in the clarification of wages, the factory does not issue salaries directly, but it is issued through the supervisors of the department. The workers also said that the supervisor can easily deduct the wages of the workers because of this salary payment system.

To complain to the factory, the workers have to speak through an interpreter as the owners are Chinese and they worry about the stability of their jobs if it is leaked. In addition, they say that the factory officials trust supervisors more than lower-level workers, making it difficult to report even if their money is misappropriated. 

"Even though the entire factory are called for 2 hours of OT, the Finishing Department called until midnight 12 o'clock. There is no resolvent for this. As the all super can call OT late at night although the manager told her not to, you can see how much the factory trusts that supercharger. That's why it's hard to complain," he said.

Factories affected as workers lost their trust

The workers did not want to work with the supervisors who cut money and even demanded to be fired. He also said that this demand is for the factory.

"The presence of this kind of leader makes the workers no longer trust the factory. The factory does not care about the workers. The workers saw that they did not prevent any kind of oppression. In this incident, more than 20 workers left their jobs in 3 months. This includes many professional staff. It's a loss for the factory." said the worker.

Other workers also say that garment supervisor level supers and other supers are cutting their money in a variety of ways.

"Such cuts are found in ticket system. The small points workers also get cuts money as she gets much. Next, also cut for not meeting hourly rate when there is insufficient workforce. They cut in various forms. The worst thing is to take deductions with the reasons of doing merits. They are using the workers' money by reasoning what to buy and what to do. There is no strictness on the part of factories. This is happening as there is no such thing," said another factory union member. 

The person who misuse the money is a person who works at the Myanmar Qi Yuan Garment Factory. The factory is located in Hlaing Thar Yar Industrial Zone 1, Yangon and operates with around 500 workers. The workers said that this factory is directly managed by Chinese people and they are manufacturing all kinds of clothes.

19 factories were reported in a single month.

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Figure 2 - Factories that violated labor rights during November and their violations.

Last November, Myanmar Labor News published 33 articles about workers and 19 factories was reported 21 times.

In the list of the reported factories, there are 6 factories that have been complained about overtime recruitment violations.

Those factories are Myanmar Qi Yuan Garment Factory from Hlaing Thar Yar Industrial Zone 1, Myanmar Zande garment factory from Hlaing Thar Yar Industrial Zone 2, YUHUA garment factory from Hlaing Thar Yar Industrial Zone 3, TIAN YU shoe factory and BOHUA FASHION Garment Factory from Shwe Lin Ban Industrial Zone and Lon John International Garment Factory in Mingalar Done Township.

Myanmar Zande factorymanufactures ZARA, INDITEX brand clothes. TIAN YU shoe factory is sewing the H&M brand.

The main violations related to overtime recruitment are the lack of notice and involuntary work. In addition, forcing them to work until late at night, intimated with firing for not working overtime.

Factories that don’t allow leaves

In the news reported in November, there were 11 factories that did not allow leaves, so it was the sectors with the most violations.

These factories are GNS (Bago) Healthcare Co, Ltd and Karisma Apparel (myanmar) Co., ltd which based in Bago Industrial Zone, TIAN YU and BOHUA FASHION factory in Shwe Lin Ban Industrial Zone, TAKASHIMA SPORTS CO,LTD glove factory from Shwe Thanlwin Industrial Zone. Sheng Mei Garment Co; Ltd, from War Tayar Industrial Zone. Yangon Art Materials Incorporation Limited frames factory from the Mya Sein Yaung Industrial Zone, Nexstar garment from Hlaing Thar Yar Industrial 1, Kamcaine MFG (Myanmar) Co,LTD garment Hlaing Thar Yar Industrial Zone 2, Lon John International garment factory from Mingalar Done Township and Myanmar Tiannan garment factory from Shwe Pyi Thar Township. 

Among these factories are Karisma Apparel (myanmar) Co., ltd manufactures Zara and Karisma Apparel (myanmar) Co.,ltd manufactures LIDL, Myanmar Tiannan manufactures FSBN, USA, BLACK SQUAD, Nexstar manufactures John Banerand Women Secret and Sheng Mei Garment C.,Ltd. manufactures CLOSHI, FB SISTER and Sinsay brands.

Regarding leave, the main factors that violate workers' rights by the factories are not giving legal leave days, making it difficult to enjoy leaves although it is clearly stated in the law. Labeled as absent without giving the workers leave and cut the rightful benefits such as daily wages and attendance bonus for those days.

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Figure 3 – Types of business that violated the labor rights

Cutting the labor benefits 

Domestic workers in Myanmar works for 8 hours a day and gets paid 4,800 MMK for that. The labor law in acting stipulates that the worker is entitled to the benefits if he or she takes legal leaves. But in reality, they are labeled as absent as they are not entitled to those leaves and cut the daily wages and other benefits for that day for taking leave.

As there was 13 factories which were reported for violating the labor benefits, it becomes the most mentioned issues in November.

There are cuts made by the factory and also unethical missusing by the supervisors are also witnessed. The factories refuse to pay the daily wages and labeled the legal leaves as absent and forcing the overtime for free.

The factories that violated the labor benefits and wages are NS (Bago) Healthcare Co,Ltd, Kamcaine MFG (Myanmar) Co,LTD, TAKASHIMA SPORTS CO.,LTD, Karisma Apparel (myanmar) Co.,ltd, Myanmar Tiannan, Myanmar Zande, Nexstar, Lon John International, TIAN YU, BOHUA FASHION, CHEUNG HING MYANMAR and Myanmar Qi Yuan factories.

CHEUNG HING MYANMAR locates in War Ta Yar Industrial Zone and manufacturing NEXT, CARTH and CELIO brands. Myanmar Qi Yuan is a factory from the Hlaing Thar Yar Industrial Zone 1 where a supervisor cut and misused the workers wages. 

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Figure 4 – Brands that are manufactured by the factories with labor violations

Layoffs

Although the layoffs upon the workers are seen less than before in the mentioned issues, there is still ongoing cases. The four factories that are mentioned for laying off the labors in November are Myanmar Tiannan Myanmar Zande Lon John International and BOHUA FASHION garment factories. 

Among those layoffs, firing the workers who have worked prohibition for 3 months, the pregnant women and firing by forcing to signing absent warnings involved. 

Using Verbal Abuse

Using slanders inside the workplace still present in November and the news expressed 5 factories where it took place.

Factories that use slanders are GNS (Bago) Healthcare Co.,Ltd, Kamcaine MFG (Myanmar) Co.,LTD, Myanmar Zande, Lon John International and BOHUA FASHION garment factories. Myanmar laborur News noticed that the verbal abuse are used by the supervisors, supers and all supers.

Pressurized assignments

Myanmar Labour News kept a data about the various forms of pressurized assignments by the factories and workshops that the victims (workers) didn’t even notice themselves.

It is witnessed that there are pressurized assignments such as intimidating to fire for not reaching the demanded record, showing the signed warnings in the workplace, cutting the wages, forcing to fire for an absent, forcing to sign a warning on the grounds that the workers violated the EC contract’s details, reassigning as newbie to the workers who came late, punishing for not working overtime, threating with the military and forcing the workers who report to the labor office to move to other departments.

The factories and workshops that involved in pressurizing the assignments are GNS (Bago) Healthcare Co,Ltd, Kamcaine MFG (Myanmar) Co,LTD, TAKASHIMA SPORTS CO,LTD, Yangon Art Materials Incorporation Limited, Myanmar Tiannan, Myanmar Zande, Nexstar, Lon John International, BOHUA FASHION and  Sheng Mei Garment Co;Ltd.

Bad workplace condition

It have to be generally accepted by all that good workplace conditions is a factor that involve in increasing imports. It is the tasks of the employers to make the workplace convenient, peaceful and enjoyable. Furthermore, the current law in act also stipulates the points to make the workplace as mentioned as above. 

But the entrepreneurs from Myanmar seems to be missing this point. In some categories, we can see that the employer is violating although it is signed in the EC contract. 

5 factories that don’t follow the workplace rules are expressed in November. Those factories are Kamcaine MFG (Myanmar) Co.,LTD, Karisma Apparel (myanmar) Co.,ltd, Myanmar Tiannan, BOHUA FASHION and Cherry Apparel (Myanmar) Co.,Ltd.

Among these factories, Cherry Apparel (Myanmar) Co.,Ltd garment factory locates at Anawrahtar Industrial Zone and manufacturing the FieldCore brands fabrics.

Those factories’ workplace are expressed for not having useable toilets, not providing the ferries in accordance with the law, not having a medic-clinic and medicines.

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Figure 5 – Industrial Zones with labor rights violations

Cracking down the trade unions

Although the trade unions favor to act like a negotiating party between the employer and the employees, the owners and officials don’t seem likely to collaborate until now. 

In addition of not favoring the existence of the trade unions, they also tries to crackdown the unions by firing them.

In November 4 news about 3 factories that were trying to crackdown the unions are expressed. They used methods such as relocating the factory and not reappointing the union members, making the workers hard to get a job at other factories, accusing that they violated the EC contract just by losing a  lawsuit for protesting to crackdown the unions.

Yangon Fukuyama Apparel (YFA) garment factory relocated to Ngwe Pinlae Industrial Zone fro War Ta Yar Industrial Zone with the new name, LONGZHISHANG SDI MANUFACTURING CO.,LTD and not only refusing to reappoint the union members but also making them difficult to apply at other factories.

Myanmar Consumer Enterprise soap gel factory from Dagon Seikkan Industrial Zone tried to crackdown the union by firing the workers who lost on the lawsuit.

There are other workers’ human rights violations such as not paying for dayoffs, not paying for overtimes in the ticket system, cutting from the overtime wages for free times in the factory because of electricity outages alongside with cracking down the unions in November.

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MyanmarLabourNews

Research Team