Company owes wages, stops production, more than 100 workers in Gia Lai suffer

Hoài Phương |

More than 100 workers of Phuc Thinh Binh Dinh Company Limited, along with a number of households receiving product contracts, and partner businesses are struggling because the company owes wages, social insurance (SI), processing fees for orders up to more than 7 billion VND and suddenly stopped production from July 31.

Phuc Thinh Binh Dinh Company Limited (Phuc Thinh Company) is headquartered at No. 30 Nhon Hoa Industrial Park, An Nhon Nam Ward, with Mr. Nguyen Van An (born in 1971) as Director; specializing in the production of products from wood, bamboo, rattan, straw and yuan material.

Workers are worried because their salaries are " deprived" by businesses

According to Ms. Nguyen Thi Ngoc Ai (born in 1991, residing in An Nhon Nam ward) - Head of the Inspection Team of Phuc Thinh Company, from April to June 2025, workers will not be paid even though they are still working normally.

Ms. Ai said that the couple has 4 children, of which 3 are about to enter the new school year. Being owed wages for many months has exhausted her family's economy, forcing them to run around everywhere to take care of their children's meals and school fees. The company also did not pay or close the social insurance book, making it difficult for her to find a new job.

"After many years of being attached to and contributing to the company, I didn't expect to fall into this situation. Despite repeated promises, the leaders still did not pay salaries and benefits, causing workers to be upset and forced to gather to demand their rights. I hope the authorities will intervene and reclaim the money from the sweat of the labor of the workers" - Ms. Ai lamented.

Not only the worker, Ms. Thu Hien (name changed), born in 1970, residing in Tuy Phuoc Bac commune - a household receiving processing products of Phuc Thinh Company - also faced debt when this enterprise did not pay processing fees for 7 months (from October 2024 to April 2025), with an amount of more than 1.7 billion VND.

"The company owes goods for many months, I have to borrow more than 1.5 billion VND to pay salaries to 50 workers at the facility. When I went to Mr. An's house to ask, he wrote a debt letter and promised to pay as soon as the company issued the order. But after many missed deadlines, I tried to find him but could not meet him, and communication was blocked. Kinh asked the authorities to help me recover the above amount of money" - Ms. Hien said.

Enterprises fail to fulfill their promises, Trade Unions get involved

Having been owed 6 months of processing fee by Phuc Thinh Company, Ms. Pham Thi Bich Hanh - Director of Tan Dat General Service Trading Company Limited (Tuy Phuoc Commune, Gia Lai) - has submitted a report to the police about the company still owing her billions of dong.

According to Ms. Hanh, from November 2024 to April 2025, this company abused the trust and appropriated the processing money of her enterprise with an amount of more than 2.3 billion VND. Currently, this company shows signs of spreading assets, has sold machinery, means of transport and is unable to pay debts and workers' wages.

Ms. Hanh requested the police to verify and prosecute the criminal case to investigate, prosecute, and try Mr. Nguyen Van An for fraud and appropriation of property, and at the same time force Mr. An to return wages to the workers.

The Gia Lai Provincial Federation of Labor said that according to initial statistics, Phuc Thinh Company owes 130 workers' salaries, with an amount of more than 2.3 billion VND; owes households more than 2.5 billion VND in processing money and owes Tan Dat Company more than 2.3 billion VND. The total debt is more than 7.1 billion VND.

Phuc Thinh Company has deducted insurance premiums from employees but did not pay them to the Social Insurance agency, causing employees to quit their jobs and not receive unemployment insurance; health insurance cards are locked, and medical examination and treatment costs are not paid. The company also did not pay the Union fund, did not sign labor contracts with more than 100 workers and has not paid salaries since April 2025.

Through the work, the Director of Phuc Thinh Company admitted that he owed wages, social insurance and did not sign contracts with employees and committed to paying 50% of the social insurance debt (more than 319 million VND) before July 31, the rest before July; paying wages for April and May before July 31, the remaining months no later than July 10.8; signing contracts with all employees before July 31.

"Although the Director of Phuc Thinh Company had committed to repaying the debt according to the roadmap, after only 1 month, contact was cut off. Therefore, the Provincial Federation of Labor continues to guide employees in completing the procedures to file a lawsuit against this enterprise, and at the same time recommends that the competent authorities supervise and prevent the dispersement of assets" - said a representative of the Gia Lai Provincial Federation of Labor.

On August 20, the reporter contacted the Director of Phuc Thinh Company to get information on salary payment and resolve the regime for employees. Over the phone, Mr. An said that he was busy working with the police, which was not convenient to answer.

Hoài Phương
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