PT Mulia Knitting Factory
2010 Update- Agreement between GSBI and PT Mulia Management Reached
In May 2010, after a long, three-year struggle, SBGTS, the factory-based subsidiary of the GSBI union, reached an agreement regarding the violations against the factory workers. Mulia now officially recognizes SBGTS’s right to organize at the factory and petitioned management to address their grievances. Mulia will also provide compensation for five former employees who were fired in 2007 because of their union membership. Although the agreement does not directly address all of the outstanding issues, there is hope that these issues will now be addressed through the SBGTS union currently present at the factory.
Who owns it
PT Mulia Knitting Factory
What they produce
Garments
Who they produce for
University logo goods for Antigua Group, Tommy Hilfiger, Phillips Van Heusen (PVH), and Polo Ralph Lauren
Address
Jakarta, Indonesia
Number of workers
2,000
Summary of Problems at the Factory
- The factory refused to pay female workers their pregnancy and miscarriage leave
- Failed to offer transportation for female workers after the night shift.
- Failed to pay mandatory health and pension benefits
- Often did not provide adequate safety equipment
- Kept workers on temporary contracts
- Violated worker’s freedom of association
Union Information
Workers formed the SBGTS union to fight the factory’s violation of their rights. The factory forced all of the founding members to resign from the union or be removed from the factory. Each of the nineteen founding members who did not resign were dismissed, suspended, or transferred to another factory located so far away that they would not be able to make the commute. These actions by the management of the factory effectively eliminated the union from the factory. These dismissals are in violation of worker's right of association.
Communication with Buyers
Buyers were contacted and urged to show their support of the workers. Only Phillips Van Heusen has pushed for reinstatement of the 19 workers and has tried to get other buyers involved.