Workers at World Knits Limited in Mauritius have overwhelmingly rejected the company's liquidation. In a recent vote, 374 out of 405 votes cast were against liquidation, while 31 votes were in favor. According to Ashraf Peerbaccus, a union leader, the votes in favor of liquidation primarily came from external creditors. This development comes as employees seek guarantees on unpaid salaries, estimated to be between four to six months of remuneration, as well as years of service and due compensations.
The workers' rejection of liquidation is part of a larger effort to secure their rights and benefits. The employees are concerned that a proposed sale of the company to American investors for Rs 450 million may negatively impact them. Peerbaccus emphasized that workers do not want to lose their years of service, employment, and end-of-year bonuses. The union leader also criticized the Rs 28,000 proposed via the Workfare Programme as insufficient for employees with up to 30 years of service.
In response to the situation, a collective of lawyers, including Rama Valayden, Joanna Bérenger, Chetan Baboolall, and Neelkanth Dulloo, has offered pro bono support to the workers. The lawyers, members of the Fron Militan Progresis, stated that all assistance is welcome, beyond political considerations. Meanwhile, around 98% of the personnel have been placed on technical unemployment by the administrator, with only a few administrative employees continuing to handle customs formalities and reports for the Mauritius Revenue Authority (MRA) without pay.
The situation has prompted intervention from the government. In a parliamentary address, Labor Minister Reza Uteem stated that he is in contact with the MRA regarding the Portable Retirement Gratuity Fund (PRGF). However, the payment of funds related to years of service depends on the administrator's decision to terminate employment. The minister noted that Rs 55 million had already been used to pay salaries.
Workers are now hoping for intervention from the Prime Minister, who is also the Minister of Finance, to prevent a social crisis and recognize decades of loyalty to the company. The employees' concerns center around the potential loss of benefits and job security. The administrator's actions have left many workers uncertain about their future.
The World Knits situation is not an isolated incident. A similar attempt to liquidate another subsidiary, Kline Textile, was rejected the previous day. The workers' determination to protect their rights and benefits reflects a broader desire for job security and fair treatment. As the situation unfolds, the involvement of government officials and the MRA will be crucial in determining the outcome.
The workers' struggle for fair treatment and job security has garnered significant attention. With the support of the union and pro bono lawyers, employees are advocating for their rights and seeking a resolution that prioritizes their well-being. As the situation continues to develop, the Mauritian government's response will be critical in shaping the future of World Knits Limited and its employees.
Key points
- Workers at World Knits Limited in Mauritius have voted against the company's liquidation, seeking guarantees on unpaid salaries and benefits.