Myanmar: Garment workers yet to receive compensation from factory closure three years ago
Summary
Date Reported: 20 Apr 2024
Location: Myanmar
Companies
OVS SpA - Former buyer , LPP Spółka Akcyjna - Buyer , C&A - Former buyer , Kiabi - Former buyer , HK Works London - Buyer , GTIG Eastar Garment (Myanmar) Company Limited - Supplier , Tesco - Former buyer , Inditex - Reported buyer , Zara (part of Inditex) - Reported buyer , Lidl - Former buyer , House (part of LPP S.A) - Buyer , Calliope - BuyerAffected
Total individuals affected: 2000
Workers: ( 2000 - Location unknown , Clothing & textile , Gender not reported )Issues
Wage TheftResponse
Response sought: Yes, by BHRRC
Story containing response: (Find out more)
Action taken: GTIG Eastar allegedly supplies or has supplied to C&A, KIABI, Lidl, OVS SpA, Tesco, LPP (for its HOUSE brand), HK Works London, Calliope and Inditex (for its ZARA brand); Inditex, KIABI and OVS provided a response to a request for comment from the Resource Centre. OVS stated it had resumed operations with the factory. Inditex stated it is no longer working with any factories in Myanmar. KIABI said it stopped sourcing from the factory in February 2022. C&A stated it had stopped order placement in March 2021, and Tesco stated it decided to exit Myanmar in early 2022. HK Works London and Calliope did not respond, while LPP did not respond to the allegations linked to GTIG Easter Garment (Myanmar). LIDL has previously informed us that it ceased operations with the factory in Sept 2021, C&A had stated it had removed the factory from its system in Aug 2021, and Tesco said it stopped sourcing from Myanmar in Spring 2022.
Source type: News outlet
"GTIG EASTAR factory (3) Thousands of workers suffered", 20 April 2024
I want to ask for help. From GTIG EASTAR station (3).
Until now, the boss of the factory has not paid any compensation to the employees for the time the factory was closed due to the fire.
...the factory...lied [and said] that they would pay if they got...orders. Now, even though I get a lot of personal orders, So far I have not received anything.
During the months of closure due to the fire, the staff did not get any help. In the past, factory workers tried to ask for damages...Other factories have already paid compensation to the employees...
Now the factory has its own order Lpp for the year 2024. OVS is the same.
There are orders at the factory. No help from brands. I can't get help from other organizations either...
(Note: GTIG EASTAR (3) factory is a Chinese-owned factory, and it is a factory that sew[ed] [for] brands such as OVS, KIABI, C&A, TESCO, ZARA, House F&F Brand, including TESCO...
In March 2021, the factory was closed after 7 months after a fire. The owner of the factory is refusing to pay compensation to the employees for the period of closure of the factory...The GTIG-EASTAR Garment Factory...has nearly 2,000 workers, so the damages are many.
Almost 7 months after the factory fire, the factory workers were recalled. According to Myanmar Labor News' records, workers from remote areas were given only 3 days to start work, and most of them lost their jobs due to the difficult situation of returning due to the political situation.
[Translation via Google Translate]