By Yoon Sat - Nov 02, 2024
Workers from Ruby Lion Manufacturing factory from Industrial Zone 3, U Tun Nyo Road, Insein Township, Yangon Region, said that they have been subject to wage cuts and were denied compensation after the factory closed.
According to workers, the factory claimed that "operational difficulties," they did not provide Employment Contract (EC) agreements to the workers, allowing them to impose arbitrary wage cuts.
Instead of EC agreements, the factory owner used a one-sided employee handbook, which does not comply with legal standards, to control and discipline the workers. Workers reported that they were required to work half-day overtime every Saturday without pay, and overtime is only paid at a rate of 1,200 MMK per hour. Despite repeated requests for EC agreements, these were ignored, and legal leaves were not granted.
On the afternoon of October 21, the owner, HR, and managers held a meeting with all employees to announce that the factory would close and that severance payments would be issued according to the law on October 23. However, when workers came to collect their severance on October 23, the owner and managers were absent and no payments were made.
The workers reached out to the factory manager by phone, requesting the remaining wages up to the morning of October 21, as well as their severance pay for the factory's closure. The manager responded that payments would only be available starting November 2, but as of now, there is still uncertainty.
"Nothing has been resolved yet. We still don’t know if they will pay the compensation. Maybe we’ll find out on the 4th November," a person close to the workers said.
The factory produces edible oil and Labour Activists criticized that exploiting the workers without providing employment contract is violation on both Myanmar’s existing labor laws labour rights.
