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THAILAND: Garment company shuts down officially

SAMUT PRAKAN: Thai Silp South East Asia Import Export, a garment company officially ceased its operations yesterday.

The company’s 5,000 workers are waiting anxiously for their full compensation as the sale of its assets should raise only half of what they expect. The garment company produced sportswear products for brand names like Adidas.

Today at the day of the asset sales at the textile firm's headquarters in Samut Prakan's Bang Phli district sale of more than 2,700 industrial sewing machines generated about 40 million baht. The previous sales of office equipment raised around 28 million baht.

The total of 68 million baht is still far from the standard lay-off compensation of 122 million baht that the workers want from their management. The workers, whose jobs were also officially terminated yesterday, agreed to continue their rally at the company's head office to guard the company's assets and pressure further for full compensation from their employers.

Some of the workers could find new jobs but are warned by their colleagues not to not leave the rally because if they leave they will lose out when the full compensation arrives.

The company started with its first factory in Samrong area of the same province and its operations grew steadily until it abruptly closed the factory on July 18, citing debt and the appreciation of the baht as the reasons. The closure means unexpected troubles for workers and, without full compensation, the hardship will be compounded.

Employees who were wage-earners had few savings because most of their wages were spent on making ends meet. Former workers of Thai Silp are attending sessions educating them on benefits under the social security system.

Source: Agencies • News Courtesy: BharatTextile.com