Workers say that the management has issued a threatening announcement stating “No Work, No Pay.” during the period of negotiations following protests at the JOC (COSTEC) garment factory.
“The factory made the announcement today, the 7th. They threatened that wages will not be paid if we don’t work. Nothing is happening as usual inside the factory. There are no raw materials to work with at all. Now they have cut off the water supply and electricity,” a worker said.
These developments occurred while negotiations over demands for a wage increase are continuing at the township labour office. On January 1, the employer removed garments and operational materials from inside the factory, leaving only the machinery behind.
“The factory’s wage structure is unfair. It’s a hand-to-mouth system you eat only what you’re given. Unlike other factories where workers can earn 12,000 kyats, workers here have to work extremely hard. The grade pay system includes hourly rates and incentive bonuses based on garment percentages. Workers have to work under immense pressure to earn the same salary as others,” a worker explained.
Myanmar Labour News found that in the December payroll statement, wages were deducted for the days when demands were raised, and working hours were calculated in a way that workers find difficult to understand.
“We don’t understand our wages. Full working hours should be 248 hours, so why does it say 218 hours? If this is true, then the factory is exploiting workers’ wages. For the days we raised demands, they only paid daily wages for official off days,” a worker said.
Workers also said that the garment factory recently changed its name from COSTEC to JOC, and that it has been manufacturing brands such as LC Waikiki, X Shelter, ZERO STAGE, and Colopuca. Workplace demands for wage increases began on December 29 at around 2 p.m., according to workers.
The JOC garment factory is located in Myataung Wun Gyi U Hmo Road, Shwepyitha Industrial Zone (3), Yangon and is known to employ around 1,000 workers.
