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July 31, 2014

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Retail park told to pay staff wage arrears

THE owners of a huge shopping park with 4,000 retailers that closed suddenly last week have been ordered to pay their staff — some who had not received wages for months.

Staff were shocked when Global Outlets Park in Jinshan District, owned by the Shanghai Zhongfa Group, shut on July 21 after months of poor business.

One cleaner told the Labor Daily newspaper that she had swept floors in the morning only to be told in the afternoon that she had no job. Now she only hoped to receive her wages.

A saleswoman, surnamed Hu, told the newspaper that 80 employees had not received wages for four months.

Hu said staff employed directly by the retail park, including sales staff, cleaners and security guards, were due around 10,000 yuan (US$1,620) each.

She said when they quizzed their bosses about their wages, they were told that the company had cashflow problems and would pay them in due course.

The district’s labor authorities confirmed that the park was in arrears, and had told its owners to settle these.

The park had run a deficit for seven to eight months due to poor business and was in arrears with staff wages from March to May, officials said.

If it does not settle these, it will receive administrative punishments and court action will follow, officials said.

Shanghai Zhongfa Group did not comment on the issue.




 

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