Vietnam southern hub seeks gov't help for run-away firms

TN News

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Ho Chi Minh City government on Tuesday was suggested to consult the central government on how to deal with business owners who disappear and still owe salaries to the workers.

In such cases so far, the city Department of Labor, Invalids and Social Affairs has announced the firm's bankruptcy, helping workers and partners of the businesses file lawsuits at civil courts.

Yet the department said those efforts have led to nothing.

The business owners were irresponsible. They ran away and left behind the assets worth much less than the money they owed, the department said, adding that the assets got damaged through time.

So it told the city government, during a Tuesday meeting, to ask Prime Minister Nguyen Tan Dung to advise on the situation.

Reports from the Department of Labor, Invalids and Social Affairs at a city meeting showed that three foreign businesses in the area have shut down with unfulfilled payments since April 2010.

Jin Sang Vina, the South Korean firm working on jewelry production, still owed the workers around VND148 million (US$7,174) of salaries and VND600 million to its partners when the director left Vietnam.

South Korean hat maker, Haekwang Vina, Ltd., still owed VND122 million to its workers and VND200 million to partners.

Meanwhile, a Taiwan-invested sweater textile firm Magnicon Vietnam owed around VND1.6 billion to the workers and VND2.1 billion to partners.

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