A Taiwanese footwear manufacturer in Tra Vinh province announced massive layoffs just days ahead of Tết, leaving thousands of workers in the lurch (Photo zing.vn)

Tra Vinh (VNS/VNA) -
A Taiwanese footwear company in the Mekong Delta province of Tra Vinh has announced plans to fire more than 10,000 workers just days ahead of the Tet (Lunar New Year) holiday, the provincial Labour Union reported.

The My Phong Shoes Ltd. Co., which makes leather shoes for export, decided early this week to terminate the contracts of 10,142 workers from the start of February this year because the company’s partner in the US has gone bankrupt, affecting 70 percent of its export contracts.

Tran Anh Dung, Vice Chairman of the provincial People’s Committee, said that the company’s management board has agreed to ensure the employees’ rights before they are dismissed. The workers will be given Tet bonuses and their salary for January, and they will receive their February salary after the holiday.

They will be also instructed how to claim social insurance and unemployment benefits.

The company agreed not to sack around 600 workers who are pregnant or on maternal leave.

The provincial Labour Union has also sent three delegations to the company to support the workers.

The union is working with vocational centres and local companies that need workers to help the dismissed employees find new jobs after the holiday.

The Department of Labour, Invalids and Social Affairs said the agency will hold three job recruitment workshops right after Tet.

According to the department, there are 17 enterprises in the province that need to recruit more than 7,000 workers. There are also many businesses in neighbouring provinces and cities that will need workers after Tet.

Thach Thi Thu Ha, head of the provincial Labour Union, said Hweseung Vina Ltd. Co. in Dong Nai province’s Nhon Trach 1 Industrial Zone, which also makes shoes for export, is working with the provincial authorities to recruit 1,000 workers.

The My Phong Shoes Ltd. Co. was set up in 2005. The company, which has three plants in Tieu Can and Tra Cu districts, has reduced its workforce to roughly 19,000 workers from 28,000.-VNS/VNA