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21 Apr 2023

Hsu Latt Phyu, Myanmar Labour News (Myanmar)

Myanmar: Abuses including wage theft, arbitrary dismissal and unreasonable production targets reported at factory allegedly supplying the '47, Cap America and Otto

See all tags Allegations

"There are labour rights violations at Myanmar LNY CAPS Co, Ltd factory", April 21 2023

It is known from the workers working at the factory that Myanmar LNY CAPS Co, Ltd (caps), a factory that manufactures well-known brands and exports them to the United States ... violates labour rights.

... The factory, which was opened at the corner of Makkah King Maung Myu Road and Di Pharin Warang Touk U Ghai Road, is Factory 2 and employs more than 750 workers.

It is said that the brands [supplied by the Chinese-owned factory] are 47..., OTTO, CAPAMERICA.

According to the requirement of the business, day laborers are recruited, and when they were called, they said that they would pay 4,800 kyats as a day fee, but when the day laborers were paid, they were only paid at the rate of 3,600 kyats, the worker said.

It is said that discrimination is also taking place in the industry, such as if they get to know the super[visors] and work as permanent employees.

The worker said that if they quit within a few days of entering the workplace, they would not pay their wages, if they did not follow the instructions of the super[visors] they would cut their wages, demote them, and fire them.

In the current workplace, there is a pay cut if the garment falls while sewing ... workers are forced to sign [something] and if they do not sign, they say that their salary will be cut.

"As soon as the workers receive ordinary clothes from their wages ... they cut money from their wages without even telling them how much they want to cut. [Supervisors ask for unreasonable production targets and pressure [workers]]. If the cloth standards are not met, they have to go off without a salary on weekends," said a worker from the factory who did not want to be named.

Wages will not be issued if there is no prior notice of resignation. It is said that if the family withdraws through a representative letter, it is not cleared. It is said that the factory has announced that such wages cannot be issued.

The workers also said that it is difficult for the workers to speak out about the oppressive conditions mentioned above.

[Workers want the factory to appoint workers as permanent employees, with commensurate salary, after three months, to be set reasonable targets, not to have wages unfairly deducted, for contracts in line with the labour law, and for overtime fees to be calculated in accordance with the law if overtime is required].

The workers said they want to demand that brands take action against factory violations.