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Viewing all content tagged: Wage Theft

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Largest Sum Ever: WRC recovers US$4.5 Million in unpaid severance

Country: Indonesia
Issues: Wage Theft

In the fall of 2019, two thousand Indonesian workers received what the WRC believes to be the largest amount workers have won in a single case of illegally denied severance. On July 2, 2018, the management of PT Kahoindah Citragarment (Kahoindah), an Indonesian garment factory owned by the Korean firm Hojeon LLC, had announced that…

PT Kahoindah Citragarment Tambun-Bekasi

Country: Indonesia
Issues: Wage Theft

The WRC conducted an investigation of the PT Kahoindah Citragarment Tambun-Bekasi factory, which was owned and operated by Hojeon Ltd. (Hojeon), a South Korea-based factory conglomerate.  The investigation was undertaken in response to complaints from workers received by the WRC after the factory announced its intention to close on July 2, 2018. From 2009 until…

Pure Cotton

Country: United States
Issues: Wage and hour violations, Wage Theft

The WRC investigated violations of university codes of conduct by Pure Cotton, a company located in Los Angeles, California, that supplied collegiate apparel to the licensee, Hype & Vice, LLC (Hype & Vice). In September 2018, California state inspectors cited Pure Cotton, and a small subcontract factory operating at the same address, Union Supply, for…

LD El Salvador

Country: El Salvador
Issues: Wage Theft

LD El Salvador, a garment factory located in El Salvador, unexpectedly closed down operations in March 2018 and failed to pay its 824 employees approximately $2.3 million dollars in compensation that they were legally entitled to receive for terminal benefits. The factory was owned by a Korean businessman, Young Ryul Kim, and was a key…

“Organized theft on a massive scale”: the reality of severance theft in Indonesia

Country: Indonesia
Issues: Wage Theft

Abruptly and without warning, the Indonesian garment company Jaba Garmindo shut down operations at its two factories in April of 2015, leaving over 4,000 workers without their legally mandated severance. The sudden departure reflects a consistent trend within garment factories around the globe; in response to intense market pressure to cut production costs, many factories…

Sinolink Garment Manufacturing

Country: Kenya
Issues: Abuse and Harrassment, Freedom of Association Violations, Health & Safety Violations, Overtime Violations, Precarious Work, Statutory Benefit Violations, Wage Theft

The WRC launched an emergency assessment of Sinolink in response to a worker complaint in August, 2004. The investigation found serious violations of worker rights in the following areas: freedom of association, including collusion with state police to violently squelch lawful associational activities; health and safety, including workers being locked in the factory overnight without access to first aid supplies; verbal and physical harassment and abuse; inappropriate use of casual employment status; forced and improperly compensated overtime, including forced 24-hour shifts; and access to sick leave and maternity leave.

Rising Sun Kenya EPZ

Country: Kenya
Issues: Abuse and Harrassment, Freedom of Association Violations, Precarious Work, Statutory Benefit Violations, Wage Theft

The WRC’s investigation of Rising Sun documented a number of serious code of conduct violations including, of greatest concern, the mass firing of 1,270 workers in early June 2006 in response to protests by workers regarding working conditions at the factory.

Quality/Elderwear

Country: El Salvador
Issues: Freedom of Association Violations, Wage Theft

In response to a complaint from workers in late August 2006, the WRC undertook an inquiry into alleged worker rights violations at a factory known as Quality, located in Soyapango, El Salvador. The factory was closed in August of this year and production was relocated to a different region of El Salvador.

PT Panarub

Country: Indonesia
Issues: Abuse and Harrassment, Freedom of Association Violations, Health & Safety Violations, Overtime Violations, Precarious Work, Statutory Benefit Violations, Wage Theft, Wrongful Termination

Based upon information from Adidas, OCAA, local non-governmental organizations, and our own preliminary research, the WRC identified a number of areas of concern for investigation. These included: Legally Mandated Benefits; Freedom of Association; Occupational Health and Safety; Psychological and Physical Abuse of Employees; Arbitrary Firings and Forced Resignations; Hours of Work and Wages; Use of the Contract Labor System, and the Imposition of Improper Expenses on Workers.

PT Kolon Langgeng

Country: Indonesia
Issues: Abuse and Harrassment, Freedom of Association Violations, Health & Safety Violations, Overtime Violations, Statutory Benefit Violations, Wage Theft, Wrongful Termination

In November 2002, the WRC received a complaint from workers at PT Kolon Langgeng, including allegations that, if valid, would constitute violations of Indonesian law and of college and university codes of conduct primarily in the realm of wages and benefits, forced and uncompensated overtime, and occupational health and safety.