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Summary*

The Thai Krieng Factory (re-named the Thai Durable Factory) was founded 40 years ago. 30% of the production is for export to America and Europe. Of the 1,888 workers, 1,031 are members of the Thai Krieng Durable Textile Trade Union. Most of the workers are middle age women who have been working in the factory for more than 15 years.

In 1993, the Company tried to lay-off union-leader and committee members citing the need for market competitiveness and technological change as the reason for the lay-off. The workers went on strikes and occupied the factory. The Management was forced to comply with the worker's demands, the lay-off was postponed and union leaders were given back their posts. Since then, the management of the company has changed hands.

During the depth of the economic crisis 1998, workers did not demand any welfare to ease the financial situation of the company and assisted the company in negotiating for debt reschedule with the Bangkok Bank. Workers even sacrificed their wage increase and asked not to be paid for days such as holidays which they do not work. But when the financial situation, production and sale of the company improved, the workers esteem, after having assessed the standing of the business and the general economic situation and conducted opinion survey among its members, that the company should make greater and just contribution to the workers. After the general meeting of the union on September 12,1999, union's member decided that the trade union should hand demands to the company to negotiate for wage increases, improved working conditions and welfare which had been postponed for years now.

But when the union filed the demands, the Company made counter-demands, essentially declaring that wages and benefits are the sole discretion of the management, and ordered the close down of the production section where members of the trade union worked. This move clearly showed that the management had no intention of respecting the collective bargaining rights of the workers, despite that gaurantee under Thailand's Labor Act of 1975.