Takko Holding GmbH, Complaint 364

CONCERNING LABOUR STANDARDS
Legally binding employment relationship
STATUS
Resolved
DATE
2018-03-15

The worker called the helpline to ask about the annual leave. According to her, the factory never explains about annual leave to the workers so, they are not sure if they are entitled to it or not. She was well explained about leaves and benefits they can be entitled to as per law. However, it was learnt that the factory has not provided annual leave to the workers yet although the district labour department has already ordered them to provide annual leave for 2017. (According to previous audit finding)

Findings and conclusions

On 15 March 2018 FWF received a call to the helpline in Myanmar. The complainant indicated that the factory never explains about annual leave to the workers so, they are not sure if they are entitled to it or not as per law. Moreover, it was indicated that the factory has not provided annual leave to the workers yet although the district labour department has already ordered them to provide annual leave for 2017.

FWF informed Takko about the complaint which immediately requested the factory management for a response. On 12 April 2018 Takko informed FWF that they have visited the factory to follow up on the complaint. Takko concluded that the biggest challenge that both the Chinese factory management and workers are facing is the language barrier. More specifically on the complaint, factory management indicated that it is already implementing the annual leave system. Workers who have worked in the factory for one year, working no less than 20 days a month, will be entitled to 10 days annual leave. Workers who choose to take a vacation are eligible for 10 days of annual leave, and workers who choose not to take a vacation can get a basic salary of 10 days.

Takko requested the management to inform the workers that annual leaves are granted for them and explain how they can apply for leaves. On 16 May Takko informed FWF that the factory management held a meeting / training together with workers representatives, the chairman and Executive Committee of the union at the Myanmar Government Labour Office. The purpose was to inform the workers about annual leave, casual leave, sick leave and worker's benefits that the factory provides as per Myanmar labour law.

FWF followed with the complainant which confirmed that the factory management explained them clearly about leaves and benefits workers are entitled to as per law. The complainant indicated that it was satisfied with the outcome.

Overview of the complaint investigation

2018-03-22 Investigation

FWF informed Takko about the complaint which immediately requested the factory management for a response.

2018-04-12 Investigation

On 12 April 2018 Takko informed FWF that they have visited the factory to follow up on the complaint. During the investigation Takko had interviews with the workers from finishing section, pattern section, sewing department, and also supervisors and management. Takko concluded that the biggest challenge that both the factory management and workers are facing is the language barrier. Takko informed the Chinese factory management team about it. The general manager responded that they will hold a meeting with the Chinese team firstly, and discuss how to enhance communication with workers. Afterwards, the Chinese team will check with the Myanmar supervisor and workers representatives what is the problem between the Chinese management and the workers. The factory will ensure that all the factory rules and regulations are correctly expressed, so that workers understand these.

More specifically on the complaint, factory management indicated that it is already implementing the annual leave system. Workers who have worked in the factory for one year, working no less than 20 days a month, will be entitled to 10 days annual leave. Workers who choose to take a vacation are eligible for 10 days of annual leave, and workers who choose not to take a vacation can get a basic salary of 10 days.

Takko requested the management to inform the workers that annual leaves are granted for them and explain how they can apply for leaves.

2018-05-16 Remediation

On 16 May Takko informed FWF that the factory management held a meeting / training together with workers representatives, the chairman and Executive Committee of the union at the Myanmar Government Labor Office. The purpose was to inform the workers about annual leave, casual leave, sick leave and worker's benefits that the factory provides as per Myanmar labor law. The workers were also informed that Annual Leave (Earned Leave) will not apply if the workers request Leave Compensation. Meeting records and photos were shared as proof.

2018-06-10 Resolved

FWF followed with the complainant which confirmed that the factory management explained them clearly about leaves and benefits workers are entitled to as per law. The complainant indicated that it was satisfied with the outcome.