NEWS

Workers Protest After Wage Deduction

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By Hsu Latt Phyu - May 07, 2025

Workers from the Myanmar Stage garment factory located in Thaman Kone, Hlaing Thar Yar Township, Yangon Region, are staging a protest at the workplace demanding that their April wages—which were unfairly deducted—be recalculated and returned, as the reduced salaries have caused them financial hardship.

The factory, reportedly owned by a Chinese national and employing over 700 workers, is engaged in manufacturing surplus jackets for the r/ / My Chicco brand.

It is said that the factory does not have a trade union, but only a Workplace Coordination Committee. The wage structure includes a daily wage of 9,000 kyats, an attendance bonus of 40,000 kyats, and skill allowances set at 160,000 kyats for A+, 90,000 for A, and 90,000 for B, with working hours from 7:30 a.m. to 6:30 p.m.

“When we received our salaries on May 5th, the skill allowances were cut. Previously, A+ was 160,000 kyats, but now they only gave 120,000 kyats. A was reduced from 130,000 to 90,000, and B from 90,000 to 60,000. Workers are now demanding these be restored to the previous levels,” said one worker.

The protest began on May 6th, and workers also raised demands related to workplace rights, including proper leave entitlements, sick leave, guaranteed attendance bonuses, excessive production targets, forced excessive overtime, and EC contracts being signed only after one year of service.

It is reported that the workers have also reached out to the Industrial Workers Federation of Myanmar (IWFM) to seek assistance regarding the violations of their labour rights.

Workers' demands include:

  1. Restoration of skill allowances to previous levels.
  2. No deduction of attendance bonuses when taking legally entitled leave.
  3. Reasonable production targets based on actual capacity.
  4. No deduction of daily wages when taking social security leave, and repayment of previously deducted wages.
  5. Proper guidance on casual leave regulations.
  6. Recruitment of new workers when sewing line staff are reduced.
  7. Timely distribution of social security cards to all workers.
  8. Signing of employment contracts after three months of employment.

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