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http://www.nationmultimedia.com/2008/12/04/national/national_30090153.php
Cobra closes up plant after wage dispute
By The Nation
Published on December 4, 2008
Leading water sports gear maker Cobra (Thailand) has shut down its operation in Chon Buri, leaving security officers to advise 2,000 workers this morning of the closure.
The shut down reportedly followed a request from the 2,000 workers last month for a bonus of Bt20,000 per head and awage hike of 6 per cent. The company replied it could pay only Bt5,000-bonus per worker and a wage hike of 4 per cent- a response which prompted the workers to plan strike action.
Chon Buri deputy governor Pisit Boonchaung said he had been told of the factory's closure and talked with the Labour Ministry to negotiate with workers and the company.
Danu Chotikapanich, chief executive officer of Cobra International, told The Nation the disagreement was the result of amisunderstanding. He declined to say more.
Following negotiations with Cobra, labour union president Nawin Simaphan said the workers proposed the firm pay the bonus of Bt20,000 per head, an across-the-board wage hike of 8 per cent, work incentive of Bt1,200 per month, living cost allowance of Bt1,200 per month, risk allowance of Bt20 per day, a parent funeral allowance at Bt6,000, with a day off every other Saturday, and medical treatment allowance of Bt3,000 per year. The firm's representatives said they would consult with the executives and give an answer on December 4, he said.
A worker, who asked not to be named, said she worked with the firm since its opening 28 years ago. She said the bonus was lowered eventually from Bt40,000 to Bt30,000, to Bt20,000 and finally to Bt5,000, and so the workers ran out of patience. What angered them most, she said, was that they heard the firm lent Bt95 million to its subsidiary to extend business and then told the workers it had no money to pay for their wage requests, she said.
Cobra closes up plant after wage dispute
By The Nation
Published on December 4, 2008
Leading water sports gear maker Cobra (Thailand) has shut down its operation in Chon Buri, leaving security officers to advise 2,000 workers this morning of the closure.
The shut down reportedly followed a request from the 2,000 workers last month for a bonus of Bt20,000 per head and awage hike of 6 per cent. The company replied it could pay only Bt5,000-bonus per worker and a wage hike of 4 per cent- a response which prompted the workers to plan strike action.
Chon Buri deputy governor Pisit Boonchaung said he had been told of the factory's closure and talked with the Labour Ministry to negotiate with workers and the company.
Danu Chotikapanich, chief executive officer of Cobra International, told The Nation the disagreement was the result of amisunderstanding. He declined to say more.
Following negotiations with Cobra, labour union president Nawin Simaphan said the workers proposed the firm pay the bonus of Bt20,000 per head, an across-the-board wage hike of 8 per cent, work incentive of Bt1,200 per month, living cost allowance of Bt1,200 per month, risk allowance of Bt20 per day, a parent funeral allowance at Bt6,000, with a day off every other Saturday, and medical treatment allowance of Bt3,000 per year. The firm's representatives said they would consult with the executives and give an answer on December 4, he said.
A worker, who asked not to be named, said she worked with the firm since its opening 28 years ago. She said the bonus was lowered eventually from Bt40,000 to Bt30,000, to Bt20,000 and finally to Bt5,000, and so the workers ran out of patience. What angered them most, she said, was that they heard the firm lent Bt95 million to its subsidiary to extend business and then told the workers it had no money to pay for their wage requests, she said.