YANGON-Due to the shortage of raw materials, difficulties in land rent and losses, there have been 28 factory shutdowns, resulting in12,000 workers losing their jobs, says Moe Moe Su Kyi, Minister of Immigration and Human Resources from Yangon Region Government.

“A factory closed again in Thilawa on March 18th. Now, there are 28 factories shutdown in Yangon Region. There are a total of 12,070 workers jobless in Yangon Region due to closure of factories,” said Moe Moe Su Kyi.

She also said that the officials instructed the relevant departments to help the workers for making labour registration cards.

Mostly closure of factories is bag sewing factory, shoe factory and paper factory.

“Currently, 27 factories have submitted letters for shutdown. Two factory owners just fled but most factories have paid compensations to workers,” said Moe Moe Su Kyi.

As Letwar Garment Factory-3 owned by Dr Khin Maung Aye, CEC member of Myanmar Garment Entrepreneurs Association had closed on March 11th, there were about 400 workers jobless.

Local factories have to rely mainly on raw materials from China. Most 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 Thein Shwe said that “Till 13th March, there were temporary shutdowns 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 13th March till 30th April.