Paul Yu Phils Corp.

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Who owns it

Paul-Yu Industrial Corporation

What they produce

Decorative home lighting and furniture

Who they produce for

Pier 1 Imports, Home Center, Conforama

Private Label: TAROGO


Mactan Export Processing Zone in Lapu-Lapu City, Philippines

Number of workers

2,500 employees

Summary of Problems at the Factory 

  • Unjust suspension of workers connected with the workers association
  • Implementation of three-day workweek for regular employees in December 2008 but lacked proper documentation and due notice with the Labor Department
  • Outsourcing 40% of production to contractors
  • Using contracted labor from AVI Amor Vil Inc. agency which is not registered with DOLE (Philippines Labor Ministry)
  • Continuously renewing contracts for contract workers who have worked at Paul Yu for years instead of making them regular workers
  • Lack of payment for holiday and break time
  • Non-remittance of SSS deductions for agency workers
  • Non-implementation of paternity leave

Union Information

Workers have initiated a work stoppage in support of suspended leaders of their worker association. These seven leaders were suspended from work for an "illegal strike" after they filed a case against management's numerous unfair labor practices.

The Paul Yu workers association through its president Willy Dondoyano and the Partido ng Manggagawa (Labor Party-Philippines) is appealing for solidarity.

Communication with Buyers

ILRF has sent letters to Pier 1 Imports and requesting immediate attention and investigation into this situation.

Reports and More Information 


This factory case has ended because the workers decided to take the offer of management of a small severance package.  The workers made this decision because they were in desperate need financial support given that they had been out of work for over a month.  Unfortunately Pier 1 Imports need little to actually implement its code of conduct or hold the factory accountable for this clear case of freedom of association violations.