Workers laid off as global demand falls
In this article (4)
Textile and electronics companies are cutting overtime and working hours to their workers’ dismay as global consumer demand fall.
Tran Thu Huong and her husband were working at a garment factory in HCMC’s Go Vap District when last month, their income fell by 20% to VND15 million ($640.75) as new orders shrunk.
Huong said their income was barely enough any more as they paid VND2.2 million for house rent, VND2.7 million for tuition for their five-year-old child and loan interest, and had to tighten their belt by “not buying miscellaneous things” such as fruits.
Her husband, Hung, 33, recently quit his job after working at the factory for five years.
“I can’t work in the garment industry anymore,” he said.
He used to be paid VND13-14 million a month when he started working, but the amount had halved by the time he quit.
Questions & Answers
Q.What impact has reduced demand had on the income of workers like Tran Thu Huong and her husband?
What impact has reduced demand had on the income of workers like Tran Thu Huong and her husband?
Tran Thu Huong and her husband's income from the garment factory fell by 20% to VND15 million last month. This reduction meant they were struggling to cover rent, tuition, and loan interest, leading them to cut back on non-essential purchases like fruit.
Q.Which types of companies are being affected by the fall in global consumer demand?
Which types of companies are being affected by the fall in global consumer demand?
Textile and electronics companies are cutting overtime and working hours due to the decrease in global consumer demand. This is affecting workers in factories, such as the garment factory where Tran Thu Huong and her husband were employed.
Q.Why did Huong’s husband, Hung, decide to leave his job in the garment industry?
Why did Huong’s husband, Hung, decide to leave his job in the garment industry?
Hung quit his job after five years because his monthly pay had halved by the time he left. He stated he could no longer work in the garment industry, indicating the reduced income made the work unsustainable for him.
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