Company with 'canteen salesman as director' liquidated machinery to pay workers' wages

Workers came to the factory of Tuan Vinh Garment Trading Production Company Limited (District 12), previously the factory of DV Fashion Garment Trading Production Company Limited, to demand payment of unpaid wages - Photo: Provided by workers

Workers received 30% of their salary.

Previously, Tuoi Tre Online reported that about 100 workers of Tuan Vinh Garment Production and Trading Company Limited were owed salaries for February and March 2024, with a total amount of about 1.3 billion VND.

The company announced a salary payment date of March 25, but when the workers arrived on the due date, they had not received payment.

At a meeting with representatives of the Department of Labor, War Invalids and Social Affairs of District 12 and workers on March 25, a representative of this company said they were facing financial difficulties and asked workers to wait until April 10 to find a partner to come to the factory to get the money to pay.

In case of failure to transfer to the factory, assets will be liquidated to pay salary arrears.

But on April 10, the company continued to announce that "because an agreement had not yet been reached and more time was needed to find another partner", and postponed the date to resolve the salary arrears to April 20.

On April 15, the company announced that it could not find a transfer partner and proceeded to liquidate assets and machinery to pay wages owed to workers, with the presence of representatives of the District 12 Labor Federation and workers' representatives.

Contacted, the employee said the company paid 30% of the salary debt on April 15.

"In February and March I worked a lot of overtime, even on Sundays, so my total salary debt is 15 million, the company only advanced 1 million for Tet.

Including the liquidation of the machinery, we paid another 4 million, for a total of 5 million, but we haven't heard anything more about the remaining debt," said a worker.

Old company owes social insurance

Information from the workers said that the factory they worked at had changed its name twice. Initially it was Ha Nam An 3 Garment Production and Trading Company Limited, then it was changed to DV Fashion Garment Production and Trading Company Limited and most recently to Tuan Vinh Garment Production and Trading Company Limited.

However, their jobs were not disrupted. Many did not even know that the company had changed owners until they were owed wages.

Ms. N. - a worker at the company - said that before changing its name to Tuan Vinh and owing 2 months of salary, DV Fashion Garment Production and Trading Company Limited had previously owed social insurance from 2022 until now. She said that many workers are filing lawsuits against the company for owing social insurance in court.

Contacting Mr. Le Van Tuan - the director of Tuan Vinh Garment Production and Trading Company Limited, he said that the company was newly established in November 2023, has only been operating for 6 months and is not related to the previous old companies.

"After being unable to find a transferee for the factory, the company cooperated with the authorities to settle the salary arrears for the workers as committed, and there was no asset disposal as previously rumored," said Mr. Tuan.

Responding to information that he worked at the company canteen, Mr. Tuan said that everyone has the right to establish a business and production company. He said that he complied with the law and completed all legal procedures when establishing the company.

Source: https://tuoitre.vn/cong-ty-co-giam-doc-la-nguoi-ban-cang-tin-da-thanh-ly-may-moc-tra-no-luong-cong-nhan-20240417122648505.htm