Myo Thein
Workers reported a reduction in wages and said that despite demanding the restoration of their original wage levels for six consecutive days after the garment factory changed its name to JOC. The factory only increased the daily wage by 200 Kyats.
Under the 2013 Minimum Wage Law, the minimum wage is set based on an eight-hour workday. As a result, the factory increased the hourly wage by only 25 Kyats, according to workers.
Workers said that the factory, previously known as COSTEC Garment Factory, changed its name to JOC last month and has been producing garments for brands including LC Waikiki, X Shelter, ZERO STAGE, and Colopuca. Following the name change, workers reportedly saw their original wages reduced by more than 150,000 Kyats, according to a representative of the factory’s basic workers’ organization.
Due to the wage reduction, workers began demanding on 29 December 2025 that wages be paid at their original rates. While other factories were paying a daily wage of 12,000 Kyats, JOC workers said they were working for only 7,800 Kyats per day and were not receiving full wages.
Negotiations began on the first day of the demands. Workers requested a daily wage of 12,000 Kyats, overtime pay of 2,500 Kyats, an attendance bonus of 50,000 Kyats, and grading allowances of 200,000 Kyats for Grade A, 170,000 Kyats for Grade B, and 150,000 Kyats for Grade C.
The negotiations were led by officials from the Insein Township Labour Department, with a second round held on 30 December. As both rounds of negotiations failed, workers reduced some of their demands on 31 December, but an agreement still could not be reached.
On 3 January, the employer rejected the workers’ negotiation demands and stated that only a 200 Kyats increase in daily wages and a 2,000 Kyats increase in attendance bonus would be provided.
JOC Garment Factory is located in Myataung Wun Gyi U Mho Road, Shwepyitha Industrial Zone (3), Yangon. Previously operating under the name COSTEC International Co., Ltd, the factory had produced garments for the ZARA brand.
