Over 10,000 workers jobless after factory closures in Yangon

Over 10,000 workers jobless after factory closures in Yangon
A factory in Hlaingthaya Industrial Zone pays compensations to workers on 11 March. (Photo-Shine Lin Aung)
A factory in Hlaingthaya Industrial Zone pays compensations to workers on 11 March. (Photo-Shine Lin Aung)
Published 15 March 2020

Yangon--The number of jobless workers has soared to over 10,000 after the closures of 27 factories in Yangon Region, according to the Department of Labour.

There are 29 industrial zones in Yangon Region including Thilawa Special Economic Zone. Two factory owners ran away while 25 factories made temporary or complete shutdowns. More factories are expected to close their operations.

Daw Moe Moe Su Kyi, Yangon Region Immigration and Human Resources said: “Currently, 27 factories have submitted letters for shutdown. Two factory owners ran away now. Most of factories have paid compensations to workers.”

Most of factories closed their operations due to the shortfall of raw materials.

Daw Kha Kha who helps workers solve labour disputes said: “Most of garment workers are female migrant workers. Due to the shutdown of factories, workers and their families find it difficult to survive.”

Department of Labour said it will announce the job vacancies for the jobless workers.

Local factories have to rely mainly on raw materials from China. Most of factories closed their operations due to the shortfall of raw materials from China where the Covid-19 originated.

Union Minister for Labour, Immigration and Population U Thein Swe said: “Till 13 March, there were temporary shutdown of six factories and complete shutdown of nine factories. Three factories reduced the number of workers.

There have been no confirmed cases yet in Myanmar. As a measure to contain the spreading of Covid-19, the government has banned mass gatherings, events and festivals since 13 March till 30 April.