Factory’s contracts seen as ‘test case’ for brands

A garment factory’s alleged efforts to wipe workers’ contract histories clean could be a “test case” for how much international buyers tolerate factories negotiating outside of legal requirements, a labour-rights advocate has said.

After effectively being bought out of their contracts, about 300 employees of USA Fully Field garment in Phnom Penh’s Meanchey district will return to work today on new contracts as the factory “reopens” under the same name.

Dave Welsh, country manager of ACILS/Solidarity Center, says workers have accepted less than they were owed by law. …

While the garment industry has experienced multiple cases of workers losing benefits when factories have closed then reopened under a new name, this case was more blatant, he added. …

About 20 workers have refused the payouts, which were $650 for those on undetermined-duration contracts and $100 for those on fixed-duration contracts. …

Shane Worrell and Mom Kunthear
http://www.phnompenhpost.com/national/factory%E2%80%99s-contracts-seen-%E2%80%98test-case%E2%80%99-brands