Friday, April 3, 2015

We fought the imperialists for this?

Viet Nam meets economic reality...and the workers don't like it one bit;
In a rare challenge to the communist government, an estimated 80,000 workers at Pou Yuen Vietnam, a footwear factory in the suburbs of southern Ho Chi Minh City, massed peacefully inside and outside the industrial facility for five days - starting March 27 - in protest over a new social insurance law, which is set to go into effect in 2016.
The current law allows employees to opt to receive a lump-sum payment which is calculated at about 150 percent of the monthly salary of each working year - an option workers say they need to pay for living expenses, especially while seeking new jobs.
Which the government knows is unsustainable, so they announced an end to that option.  Besides, these workers are just closet running dogs;
"Most of these workers in garment or electronic companies working up to 60 hours per week will, in their view, not be able to accumulate more than 20 years of payment, but rather will return to their villages once they have acquired enough funds to modernize their farms and open up a business," the expert explained. Furthermore, they probably do not trust the Social Security Fund to really make their payments in the far future, he added.
But the workers stopped working until the government backed down.

What would Ho have done? Well, he probably never dreamed he'd have given birth to a capitalist lackey society;
Garment and footwear exports from Vietnam totaled $31 billion, or about 16 percent of Vietnam's Gross Domestic Product in 2014. The sector employs over 2.5 million people, with approximately 6000 companies, many of which are foreign-invested enterprises such as Pou Yuen, a subsidiary of the Taiwan-based Pou Chen Group.
Paul Krugman--The first thing you need to know is that almost everyone exaggerates the importance of trade policy. In part, I believe, this reflects globaloney: talking about international trade sounds glamorous and forward-thinking, so everyone wants to make that the centerpiece of their remarks.--won't like this;
In addition, the sector is expected to balloon if the Trans-Pacific Partnership free trade agreement with the United States and 11 other countries - including Japan and Australia - can be signed. Hanoi is also in the final stages of negotiations on a free trade agreement with the European Union.
Meaning that Vietnam's Communist government can't act the way Communist governments have historically; crushing dissent by the workers, in the name of the workers. Not when there are big bucks at stake.

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