Covid-19 forces HCMC's biggest employer to close

Jul 14th at 09:49
14-07-2021 09:49:06+07:00

Covid-19 forces HCMC's biggest employer to close

Taiwan’s footwear maker Pouyuen Vietnam with over 56,000 staff will suspend operation from Wednesday as ordered by HCMC’s Binh Tan District.

Workers of Pouyuen Vietnam leave after work in June, 2021. Photo by VnExpress/Huu Khoa.

The company will be closed for 10 days after the company said it could not fulfill the district's requirements on having all employees stay back at the factory and get the new coronavirus tests every three days instead of moving back and forth between their residencies and the factory.

Cu Phat Nghiep, chairman of the company's labor union, said the factory could not arrange for all workers to stay in the factory because there are too many of them while a majority of the factory has been occupied by machinery.

The company has already considered the plan to cut production and thereby reduce the number of employees to ensure social distancing, but even if production is kept at a minimum of 30 percent, there would be more than 16,000 workers staying back and it is still difficult for the company to arrange accommodation for that many people.

Prior to the decision to close the company, Covid-19 related problems have already forced more than 33,000 workers of Pouyuen Vietnam to temporarily stop working.

Among them, nearly 10,000 workers living in HCMC's neighbor Long An could not come to the factory to work due to local authorities' "travel pass" regulations. Neighboring localities have required all commuters from HCMC to be Covid-19 free, get the required tests and clearance.

The same reason had previously caused more than 3,500 workers from Mekong Delta's provinces of Tien Giang and Ben Tre to take a break from work. All these workers typically commute in the company’s shuttle buses.

In addition, nearly 20,000 workers have had to temporarily stop working after coming into contact with confirmed Covid-19 cases and having to quarantine themselves at home.

Some workers have decided to quit.

Pouyuen Vietnam has about 56,000 employees and is HCMC’s biggest employer. According to a report by the city's health officials, Pouyuen had detected 35 Covid-19 cases as of July 4.

HCMC has 320,000 workers in export processing zones and a high-tech park and almost 1.3 million in 17 industrial zones.

According to the HCMC Federation of Labor, by July 7 more than 1,800 of these workers had been diagnosed with Covid in the new wave that began in late April.

The city has for weeks been the worst hit locality in the nation, with community infections crossing 16,500 by Tuesday night.

Vnexpress





NEWS SAME CATEGORY

Production chain breakdown looms after HCMC firms suspend operations

Many companies in HCMC closed down because of Covid-19 infections are struggling to fulfill orders. A production breakdown looms if the closures are prolonged...

Saigon Hi-tech Park factories shut down over Covid-19

Many factories in Saigon Hi-tech Park, including the Samsung Electronics CE Complex, have shut down after more than 750 Covid-19 cases were confirmed there.

New cargo airline unlikely to take off any time soon

The proposal to establish a new cargo airline, IPP Air Cargo, has been placed in cold storage for now by Vietnam’s aviation, citing the pandemic situation.

Capital city to promote consumption of husbandry products

Ha Noi is working to promote the consumption of husbandry products alongside improving product quality amid the goods circulation problems the COVID-19 pandemic has...

Viet Nam determined to remove EC’s yellow card fishing warning by 2022

Viet Nam is determined to gradually reduce the number of fishing vessels violating regulations on illegal, unreported and unregulated (IUU) fishing in order to have...

Seaport development on the horizon

The development of seaports is to be prioritised over the next three decades to meet increasing demand in shipping services, according to Nguyen Xuan Sang, director...

HCM City strives to increase vegetable, fruit supply

Businesses and authorities in HCM City are working to ensure supply and prices of vegetables and fruits remain steady despite a panicked populace buying them in...

Thai energy firm BCPG signs Laos wind power sale with Vietnam

Thai renewable energy firm BCPG Pcl on Tuesday said that its consortium had signed a 25-year agreement to deliver wind energy from a 600-megawatt project in Laos to...

Hung Yen Province seeks investors for support industries

The northern province of Hung Yen is seeking investors and stepping up construction of industrial parks and industrial clusters to improve the added value and...

Mekong Delta: attractive destination for renewable energy development

Taking advantage of its natural conditions and investment attraction policies, the Cuu Long (Mekong) Delta has become a destination for investors in renewable...


MOST READ


Back To Top