Shein partner, Coteminas resigns, say employees – 08/18/2023 – Market

Workers at Coteminas (Companhia de Fabrics Norte de Minas), in Montes Claros (MG), say that the company delays wages, does not deposit the FGTS (Guarantee Fund for Length of Service) and there is expectation of dismissal, according to reports from employees and who has worked at the factory, founded in 1967.

The waiver must be paid in ten installments, with vacations and the FGTS fine settled only on the last payment, they say. Layoffs would have already started – according to employees, almost daily between 40 and 50 would be called to terminate contracts.

The company, commanded by Josué Gomes da Silva, president of Fiesp (Federation of Industries of the State of São Paulo), is one of the companies contracted by the Asian giant Shein to nationalize the fashion retail production.

Coteminas did not indicate contact for the press office. The report called three phone numbers at the company’s office in São Paulo and sent messages to email addresses provided by an employee at the call center, but received no response.

The press offices at Fiesp, which is headed by Josué, and at Ciesp, of which he is first vice-president, said that they do not deal with matters related to Coteminas.

The Montes Claros Weavers’ Union was contacted by phone and WhatsApp, but no one wanted to comment.

The MPT (Ministério Público do Trabalho) in Minas Gerais said that it is following the situation in the industry and that it has opened a procedure, but could not give more information about the case.

Before the layoffs began, the company’s units in Montes Claros had around 3,000 employees.

The employees interviewed by Sheet claim that the FGTS stopped being deposited 22 months ago and that benefits such as food vouchers and gas vouchers were cut. In addition, they say that the basic basket is not provided every month and there are reports of difficulties in using the health plan.

July’s salary, which should have been paid on the fifth working day of August, had not fallen into the account, according to reports. In July, the previous month’s remuneration would only have been paid on the 27th.

Another employee complaint refers to discounts on paid leave. Earlier this year, after a four-month lay-off period (temporary contract suspension), workers from various sectors were sent home with salary maintenance.

Upon termination, wages for the lay-off period, in which they were stopped by agreement with the company, would have been deducted, they say. There are even reports of people fired who would not have received anything in the settlement.

Last Wednesday (9), the Municipality of Montes Claros convened an assembly to discuss the matter, but the Weavers’ Union and Coteminas did not send representatives.

In writing, however, Josué Gomes said that the activity was affected by the current level of interest. According to the businessman, the company is selling assets that will support the “normality of activity”.

Professionals in the spinning sector say that, in recent weeks, they have started to be called back to work. The demand would come from the contract with Shein, and the production would be samples for the new commercial partner.

Coteminas led a negotiation that resulted in Shein announcing the nationalization of 85% of its production.

Josué was at the table when Minister Fernando Haddad (Finance) announced that Shein would adopt domestic production, at the end of a week marked by the negative reaction of consumers regarding the government’s negotiations to change the taxation of international purchases.

With Coteminas, Shein started to produce at the factory installed in Rio Grande do Norte. The first national pieces by the Asian company were presented in a fashion show in São Paulo, earlier this month.

At the end of June, Coteminas announced the intention to cut about 700 employees at the unit in Blumenau (SC). There, Sintrafite (Textile Workers Union of Blumenau, Gaspar and Indaial) was informed that the payment of severance pay would be made in 15 installments.

According to Carlos Alexandre Maske, CEO of the workers’ union, 75 employees have already been dismissed. The company would have signaled that another 225 will be fired by the end of August, he says.

In Itaúna (MG), where fabric production has also been stopped since the beginning of 2023, workers began to be called back to activities in early July. There, Fabricos Santanense, bought in 2004 by Coteminas, operates with around 800 employees.

Lawyer Sandra Regina de Paula Vitor, legal advisor for the Itaúna Weavers’ Union, says that, as of the resumption of production, the company is committed to agreeing on the payment of benefits.

collaborated Paulo Ricardo Martins