Jack Wolfskin, Complaint 778

CONCERNING LABOUR STANDARDS
Payment of a living wage Legally binding employment relationship
STATUS
Closed
DATE
2019-09-03

The complainant stated that from early August 2019 the factory arranged workers to take annual leave every Saturday due to low season. Workers whose annual leave is up, have to take unpaid leave. According to the complainant, the factory is required to pay workers 70% of their basic salary in case of work stoppage. The complainant mentioned that many workers have raised this issue to Labor union, but did not receive any feedback.

Findings and conclusions

On 3 September 2019, FWF’s complaints handler in Vietnam received a complaint from a former factory worker, who claimed that workers had to take unpaid leave during work stoppage in the low season. The complainant mentioned that many workers have raised this issue to the labour union, but did not receive any feedback.

On 4 September 2019, this complaint was accepted as admissible, FWF informed Jack Wolfskin, the FWF member sourcing at this factory. Jack Wolfskin has stopped working with this supplier since April 2019. In accordance with FWF's Complaints Procedure, Jack Wolfskin informed their supplier about the complaint and asked for their timely response. The supplier confirmed to have asked 161 employees to take leave on 10 August. Factory management submitted documentation of the announcement to workers which included the approval of the union president and signatures of the respective employees.

A meeting was held on 19 September 2019 during which all workers and the trade union president explained the situation and encouraged workers to raise their concerns. According to the union president, workers' concerns were addressed. However, the complainant told the complaint handler that he/she had to take five days of unpaid leave in August (3, 19, 17, 24, 31) and two days in September (7 and 14). Jack Wolfskin wrote to the supplier again, after which the supplier sent more documentation and announcement of work stoppage for the above mentioned dates. The announcement stated: company will page wages for workers with annual leave. Company will not pay wages for workers without annual leave.

Based on the above, FWF found the complaint grounded. The factory complied with Article 111 of Vietnam labour code stating the employer has the right to regulate the timetable for annual leaves after consultation with the employees and must give prior notice to the employees. However, the factory is in violation of Article 98 of the Vietnam labour code which states employees must be paid in full, including employees who do not have any annual leave remaining.

Unfortunately, the factory does not agree to the above non-compliance and keeps stating the company pays employees in full. After several messages from Jack Wolfskin, the factory does not show sign of remediation. Given that Jack Wolfskin had already stopped working with this supplier, there was no leverage to push for remediation. Fair Wear's complaints handler explained the situation to the complainant and referred him/her to the local union contact.

The case cannot be resolved and is thus closed.

Overview of the complaint investigation

2019-09-04 Investigation

The complaint was found admissible and forwarded to Jack Wolfskin.

2019-09-17 Investigation

Jack Wolfskin has stopped working this this supplier since April 2019. In accordance with FWF's Complaints Procedure, Jack Wolfskin informed their supplier about the complaint and asked for their timely response. The supplier confirmed to have asked 161 employees to take leave on the 10th of August. Factory management submitted documentation of the announcement to workers which included the approval the Union president and signatures of the respective employees.

2019-09-20 Investigation

A meeting was held on 19 September 2019 with all workers and the trade union president explained the situation and encouraged workers to raise any questions or concerns they may have. According to the union president, workers are now fully aware of the situation and all concerns were addressed.

FWF's complaint handler checked the above with the complainant and provided her recommendation based on the labour law Article 98. The complainant confirmed the involvement of union president and announcements of factory management. According to the complainant he/she had to take 5 days of unpaid leave in August (3, 19, 17, 24, 31) and 2 days in September (7 and 14). Jack Wolfskin wrote to the supplier again, after which the supplier sent more documentation and announcement of work stoppage for the above mentioned dates. The announcement stated: company will not deduct wages for workers with annual leave. Company will not pay wages for workers without annual leave.

2019-09-22 Conclusion of the investigation

Based on the above, Fair Wear founds the complaint grounded. The factory complied with Article 111 of Vietnam labour code stating the employer has the right to regulate the timetable for annual leaves after consultation with the employees and must give prior notice to the employees. However, the factory is in violation of Article 98 of the Vietnam labour code which states employees must be paid in full, including employees who do not have any annual leave remaining.

2019-10-16 Remediation

Unfortunately, the factory does not agree to the above non-compliance and keeps stating the company pays employees in full. After several attempts and messages by Jack Wolfskin, the factory does not show sign of remediation. Given that Jack Wolfskin had already stopped working with this supplier, there was no leverage to push for remediation. Fair Wear's complaints handler explained the situation to the complainant and referred him/her to the local union contact.

2019-10-21 Closed

The case cannot be resolved and is thus closed.