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Workers Face Up to 70,000 Kyats Deduction for a Single Day Off, Losing Legal Leave Rights

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By Hsu Latt Phyu - Jul 19, 2025

Workers from Myanmar Guotai Huasheng Glory Fashion Co., Ltd have sought assistance from the Industrial Workers Federation of Myanmar (IWFM), stating that when they miss a day of work due to health issues, they face deductions of more than 70,000 kyats from daily wages, attendance bonuses, and subsidies, and are being denied legally entitled leave, resulting in financial loss.

The factory, located on U Htun Nyo Road, Industrial Zone 2, Hlaing Tharyar Township, Yangon Region, employs over 500 workers and manufacture Xside Active brand garments.

It is known that the factory is Chinese citizen-owned. Workers also stated that they are being asked to meet production targets that exceed their capacity.

In a production line with 32 workers, the hourly target is set at 60 pieces per line. Each worker has to sew two or three parts of each piece, and they are also made to cover for lines that cannot meet their quotas, causing pressure when production targets are not met, according to the workers.

“In Line 16, the supervisor yells at workers while demanding output targets. They pressure senior workers without cause and treat them unequally. The supervisors in lines 8, 14, 15, and 16, say they don't care if we complain elsewhere. HR also sides with them. They even said that workers who were previously part of a union before the military takeover won’t be hired. Older workers are given higher targets,” said one worker.

Currently, as workers are not allowed to take legal leave, even missing one day results in a deduction of over 70,000 kyats, including daily wage, subsidies, attendance bonuses, and grade bonuses, leading to losses, the workers said.

“In July, 18 workers who were supposed to receive their annual bonus were paid off in advance during June with just 9,600 kyats. It wasn’t full daily wage. When we asked, the manager bluntly said, ‘We’ll pay whenever we want,’” a worker reported.

Workers stated that violations like these in the workplace are causing financial and legal harm. Myanmar Guotai Huasheng Glory Fashion Co., Ltd workers said they are calling for:

  1. Employers to grant legally entitled leave days to workers.
  2. Employers to stop demanding unrealistic garment production targets.
  3. The manager to fully settle the annual bonus according to full daily wage.
  4. Supervisor of Line 16 to stop yelling at and pressuring workers for garment output.
  5. Employers to stop forcing workers who are already sewing two to three parts to also cover for underperforming lines.
  6. Employers to end discriminatory treatment of senior workers.

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