A Change of Guard

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Saturday, 12 March 2016

As workdays dry up, fears of factory calling it quits


Great Honor Textile Factory employees wait outside the Kandal Provincial Town Hall yesterday morning.
Great Honor Textile Factory employees wait outside the Kandal Provincial Town Hall yesterday morning. Kong Meta

As workdays dry up, fears of factory calling it quits
Fri, 11 March 2016 ppp
Kong Meta


Worried their employer is going out of business, workers at a long-running Kandal garment factory have asked provincial authorities to ensure they receive their legal payouts, though the company maintains it is not shutting down.

Dozens of workers from Great Honor Textile Factory, which employs 1,014 people and has run for 17 years, visited Kandal Provincial Town Hall yesterday.

It is the fourth time employees have sought the governor’s help with the company, which ended a two-month paid shutdown in January and has since reduced shifts, amid a continuing dearth in orders.

“We went to work for a day [after the shutdown], and we got two days off. How can we get enough salary to make a living?” said 44-year-old line manager Thou Yuna, who has been with the company 15 years.

“We want to know whether the company will be able to provide us with tasks or not and we would still like to be paid our seniority bonuses.”



Noting the Chinese-owned factory had hit hard times, Provincial Governor Mao Phirun reassured the group, saying he would forward the case to the Ministry of Labour. “The factory will not fire the workers, or they will need to pay for their seniority bonuses,” Phearum said.

“If there is work for them; they will call workers to the factory,” he said.

Though acknowledging some machines had been moved into storage, Lim Vegh, Great Honor’s administrative chief, denied the factory would close, blaming low orders on seasonal shifts in demand.

He calculated the company would need to pay workers more than $2 million in entitlements if it shut down.

“If we do that . . . it would kill us, because at the moment, the company is not a good sale,” he said.

Joel Preston, from labour rights group Central, said the company, and a sister factory, had suffered a drop in orders after clothing giant H&M stopped sourcing from their parent firm China Key.

He said there had been three Arbitration Council rulings ordering the factory to pay at least $50,000 in withheld suspension pay to workers.

“It seems like there is a lot owed to workers. It would not surprise me if they close to avoid liability,” Preston said.

Ek Sopheakdey, secretary of the Cambodian Apparel Workers Democratic Union, said workers were nervous.

“The workers see people measuring the land; they’re worried the company will be sold,” he said.

Additional reporting by Shaun Turton

2 comments:

Anonymous said...

there's an article on yahoo about '' walmart customers are too broke to shop '' .. it should tell you about the state of the global economy-- people are broke ..and it will get worse... most central banks are now having a negative deposit rate [ for bank reserve but you can bet that banks will find way to pass on this fee to its customers in other form of fees ] if you don't know what negative is : it simply means you are paying bank to keep your money...[ why central banks are changing negative rate to other banks to force them to lend money out in hope that it will stimulate the economy.. but banks know corporations are not making profit or instead losing money , so they are playing it safe by depositing excess money with central instead -- it used to earn them interest money... but no more ]

Anonymous said...

12 March 2016 at 10:49

Thank you for your good comment.