EU to provide cash assistance to garment factory workers

EU to provide cash assistance to garment factory workers
Published 7 May 2020
Aung Ko Ko

 

YANGON-The European Union (EU) will be providing cash assistance of 5 million Euro [nearly Ks 8 billion] to almost 90,000 workers from garment, shoe and bags factories as they are severely impacted by the COVID-19 virus.

The UNOPS manages the cash providing program which is led by EU Myan Ku, a program that means “Quick Assistance” in Myanmar Language.

“We are going to provide cash assistance to the factory workers based on three phases. For the first phase, we are going to provide Ks 75,000 for a worker who was deferred from the job without paying salary starting from May to July. Moreover, Myan Ku will be providing cash Ks 75,000 for three months for those who were officially dismissed from their jobs and some had received the compensations as well as some can’t be assigned after passing their trial period,” said Project Manager Su Mon The from SMART Textile and Garment Project.

She also said that a worker who was unfairly dismissed from a job without receiving compensation would receive Ks 125,000 for three months. For deferring workers, they would receive a 50 % salary of a factory. Finally, those who were deferred after getting a partial salary must receive a 50 % salary. Moreover, if the employer will provide food and accommodation without paying the salary, the Myan Ku would provide food and accommodation allowances in accordance with the employer’s rule.

The cash relief will be disbursed through Wave Money to the workers.

The EU’s Myan Ku provided Ks 6.8 million to 90 workers on May 1st. And then, the cash will be transferred to the remaining workers through Wave Money on May 11th, according to Project Manager Su Mon The.

Union Minister of Labour, Immigration and Population Thein Swe said on the EU's page that he thanked the EU for their cash assistance via Myan Ku. He also pledged to cooperate with the EU aiming to handle the worker affairs.

The EU has mobilized the Euros 5 million Myan Ku cash fund through its Humanitarian Development Peace Nexus Response Mechanism-NRM managed by UNOPS. In cooperation with Wave Money, the Myan Ku project will be implemented by the SMART Textile & Garments, the EU aims to strengthen production standards and corporate social and environmental responsibility in Myanmar garment sector.

The Myan Ku project team is cooperating with government, social partners and brands, and in close coordination with the Myanmar Garment Manufacturers Association (MGMA) and the Confederation of Trade Unions Myanmar (CTUM).