Mizzima-June 30

The invocation of Article 33 of the International Labor Organization’s (ILO) Constitution against Myanmar at the 113th session of its General Conference on 5 June 2025 marks a significant escalation in international pressure on the country’s military junta. This rare and serious measure, which is effectively a call for member states and organizations to review their relations with Myanmar, came in response to the junta’s systematic repression of trade union rights and failure to uphold core labor standards. While this move has been welcomed by Myanmar’s pro-democracy movement, it introduces a complex dilemma for foreign companies with investments in Myanmar’s garment sector—particularly regarding how to continue supporting workers’ livelihoods without financially empowering the military regime. The central challenge lies in balancing ethical labor practices with the imperative to avoid complicity in funding an oppressive regime. The garment sector in Myanmar, employing over 500,000 workers – largely women – has been one of the few sources of income for working-class families during a time of deep political and economic crisis in the wake of the 2021 military coup. For foreign investors, especially apparel brands and manufacturers, withdrawing entirely risks the mass unemployment of already vulnerable workers, exacerbating poverty and potentially pushing them into informal and exploitative labor markets. However, remaining in Myanmar is fraught with reputational and moral hazards. The junta exerts significant control over the country’s economy, including tax collection, import and export licensing, and the allocation of land and infrastructure – all of which can channel foreign capital into the regime’s purse. Brands that continue operations risk being perceived as indirect funders of human rights violations, particularly if their supply chains are linked to entities controlled by the military or its business arms, such as Myanmar Economic Holdings Limited (MEHL). Another major challenge is ensuring labor rights and acceptable working conditions in an environment where trade unions are persecuted, and collective bargaining is effectively banned. Since the 2021 coup, union leaders have been imprisoned or forced into hiding, and factory workers face threats and harassment for organizing. Read more at: https://eng.mizzima.com/2025/06/30/23910