Education – Labor

Owner of Shop Vac Vietnam Co Ltd disappears, over 800 workers have to stop work

THURSDAY, 24/09/2020 11:00:37

Hundreds of employees of Shop Vac Vietnam Co., Ltd. in Phu Thai industrial zone (IZ), Kim Thanh district, Hai Duong province, have had to stop work without any specific announcement.

Shop Vac Vietnam Co., Ltd. has shut down and let hundreds of employees stop work since September 19

At present, the company's legal representative is absent from the firm; hence, there are many obstacles in handling related issues.

Shop Vac Vietnam Co., Ltd. is a wholly Hong Kong-invested company whose investment registration certificate was granted in May 2013 and changed for the third time in July 2019 to carry out a project to build a factory manufacturing vacuum cleaners, filter bags and components of vacuum cleaners, and accessories.

According to a representative of Nam Tai International Co., Ltd. (the investor of Phu Thai IZ infrastructure), from the time workshops were rented until before September 19, Shop Vac Vietnam Co., Ltd. still operated normally.

Since July, the company has not paid the workshop rental and is in debt of more than VND11 billion. It is no longer active at the moment. Hundreds of workers have gathered at the company gate for days to claim their interests.

On September 21 morning, the provincial IZs Authority coordinated with appropriate authorities of the province to work with Shop Vac Vietnam Co., Ltd. but its legal representative was not present and there was not any authorized representative.

The delegation worked with Nguyen Thanh Hung, the company's deputy manager of human resources and administration. He said the company had authorized a lawyer to deal with matters related to the enterprise.

According to the information provided by Hung at the meeting, Shop Vac Vietnam Co., Ltd. has more than 800 workers who were informed by the planning section that they would take a break from September 19 to wait for production materials.

However, the firm did not have any specific and clear plan or announcement in writing for the workers. 

It has paid salary till the end of August 2020 to the workers but still owes their social, health, and unemployment insurance from July 2020.

As for other issues, Hung did not know.

The delegation required Hung to inform the legal representative or an authorized person to be present at the enterprise before September 25 to work with appropriate authorities of the province and demanded the company to quickly resolve regimes for the employees.

The Hai Duong Customs Sub-department required the company to comply with legal provisions on the remaining machinery, equipment, materials, and products.

If intending to suspend production and business, the company must have a plan to resolutely solve the problems as prescribed.

The legal representative must report the inventory of machinery, equipment, materials, and products and handling directions.

The provincial IZs Authority also required the firm to report in detail on the investment plan of its project.

Nam Tai International Co., Ltd is jointly protecting all assets and preserving the status quo of the machinery, equipment, materials, and products of Shop Vac Vietnam Co., Ltd.

Appropriate authorities of the province are verifying and clarifying the case to protect legitimate interests of the employees and work out a way to handle the enterprise's investment project.



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