Korean garment firm in HCMC fined for illegal wage deductions over lost T-shirts

Nobland Vietnam’s workers during production hours. Photo by VnExpress/Le Tuyet

Nobland Vietnam, a South Korean-run garment enterprise based in Ho Chi Minh City’s District 12, currently employs 2,700 workers. In the April payroll, the company made deductions from the wages of workers, citing a loss of nearly 3,000 T-shirts, with the amount deducted varying by position, ranging from VND64,000 to VND805,000.

The Ho Chi Minh City Department of Labor, War Invalids and Social Affairs reported that wages from a total of 111 workers were deducted, amounting to over VND29 million. The company issued refunds for this amount on May 9.

However, the company’s decision faced criticism from workers because the company deducted wages without being able to specify the responsible individuals, affecting all workers. The company’s labor union called for the decision to be rescinded to safeguard the workers’ reputation.

During a May 11 dialogue with city workers, Phan Van Mai, Chair of the Ho Chi Minh City People’s Committee, instructed relevant authorities to thoroughly investigate the incident to ensure workers rights are upheld.

The company was additionally fined VND100 million for requiring employees to work overtime beyond regulation rules. In 2023, 119 employees at the company worked overtime that exceeded the legal limit of 300 hours for the year, which violates labor regulations.