PouYuen Vietnam to Cut 6,000 Jobs Due to Low Production Orders

PouYuen Vietnam is about to cut its workforce due to a lack of orders. Photo: Zing News/Chi Hung
The Binh Tan Labor Federation has informed the Ho Chi Minh City Department of Labor, Invalids and Social Affairs of the situation.The company will not renew the contracts of 3,000 workers with labor contracts of 1-3 years and reduce 3,000 workers in zones C and D in February.
The laid-off workers will not come to work, but will continue to receive payment until they receive benefits.
The grassroots trade union has requested that the company pay for the entire period of time that the workers have worked, with one month's salary per year, pending a decision from the Pouchen Group in Taiwan.
PouYuen Vietnam has been operating since 1996 and has more than 50,000 employees, making it the largest employer in Ho Chi Minh City. The company produces sports shoes and is located in Tan Tao Ward, Binh Tan District, with an area of about 56 hectares.
In response to the situation, Vice Chairman of the Ho Chi Minh City People's Committee, Duong Anh Duc, has directed the Binh Tan District People's Committee to closely monitor the production and employment situation at the company.
The Ho Chi Minh City Labor Federation has been instructed to provide support for affected workers, while the Department of Labor, Invalids and Social Affairs will coordinate with relevant units to guide the implementation of labor policies for workers at PouYuen Vietnam Company and prevent collective labor disputes and strikes.
The Job Service Center in the city will also organize job fairs and connect labor supply and demand, as well as implement unemployment insurance policies.
The company's decision to cut jobs is a significant blow to the workers and the local economy, but the government is taking measures to support the affected workers and prevent any potential labor disputes.
Source: ZingNews