VietNamNet Bridge - Honda Vietnam has denied that 2,000-3,000 workers at its factory in Vinh Phuc province have been laid off.

Local newspapers reported that in 2015, Honda Vietnam terminated labor contracts of over 3,000 out of 7,827 workers, or 40 percent of total workers. 

Many workers and their families have lost jobs and have no livelihood, as they had to give up land to make room for the factory’s site.

Bizlive cited statistics of the Vinh Phuc provincial Department of Labor, War Invalids and Social Affairs as reporting that Honda Vietnam every year needs 7,000-8,0000 workers, while the number of workers ending jobs is very high, about several thousand.

The total number of workers at Honda Vietnam who paid social insurance premiums in 2013 was 8,014, while the number of workers that stopped paying social insurance premiums was 1,837. 

In 2014, Honda Vietnam employed 2,391 new workers, but stopped paying social insurance for 1,670 workers.

In 2015, Honda Vietnam in Vinh Phuc province had 7,827 workers, while it stopped paying social insurance for 2,968 workers, record high level, which accounted for 40 percent of total workers.

The number of workers who stopped paying social insurance was equal to the number of workers terminating labor contracts with Honda.

Local newspapers reported that in 2015, Honda Vietnam terminated labor contracts of over 3,000 out of 7,827 workers, or 40 percent of total workers.

According to Diep Van Tuan, deputy chair of the Phuc Thang Ward’s Fatherland Front, in 1996, 100 percent of households in Xuan Mai 1, 2 and 3 residential quarters transferred their agricultural land to Honda to make room for the factory. In exchange for this, the local people demanded jobs at Honda for their children and relatives.

However, locals recently complained that their children lost jobs after one to four years of working for Honda. 

H in Xuan Mai 2 residential quarter complained that her 22-year-old son has been sacked. Twenty years ago, her family transferred 4 sao of land (1 sao = 360 square meters) to clear site for Honda’s factory at a very low price of VND7 million per sao. At that time, Honda promised to create jobs for locals.

Head of Xuan Mai 2 residential quarter said there were no official statistics about the dismissed workers, but he said the number was high.

Meanwhile, deputy general director of Honda Vietnam Vu Quang Tam affirmed that Honda Vietnam only dismissed 17 out of 2,000 workers who left. 

The remaining left voluntarily or terminated labor contracts for personal reasons.

Tam said about 10,000 workers now work for Honda Vietnam. In the period from 2014 through July 2016, Honda Vietnam only sacked 17 workers, including 13 who had forged high-school diplomas and four who violated company regulations.