4 Hong Kong-invested factories in Guangxi close on the same day, thousands of workers demand compensation for days

Central News Agency

(Central News Agency, Taipei, 28th) Multiple Hong Kong-invested toy factories in Yulin City, Guangxi, reportedly announced their closure on April 20th, resulting in nearly 10,000 workers losing their jobs; subsequently, about 5,000 people gathered for several days outside the factory area, demanding that the enterprises settle wages and compensate them according to law. As of April 22nd, the local government has intervened to coordinate, but no specific solution has been announced.

According to a report by Radio Free Asia on the 27th, Hong Kong Wah Shing Toy Company closed its four factories in Yulin, Guangxi, including Yingfeng, Huayao, and Chuangfeng, on April 20th, leading to nearly 10,000 workers losing their jobs. As of April 24th, about 5,000 workers continued their rights protection actions for four days, demanding payment of overdue wages and severance compensation; however, the company did not propose a clear solution, nor did it indicate that it would pay back wages or compensation.

The report quoted a worker surnamed Li as saying, "When the company closed its Changqing Toy Factory in Dongguan at the end of last year, it did not pay full compensation according to law. This sudden closure is similar to last year's situation; they didn't compensate according to labor law. We are worried that the factory will do the same this time, so thousands of people came out to protest."

The worker surnamed Li said he had complained to the labor department but received no response, instead being asked to resolve the dispute through legal channels. "Asking workers to go through legal procedures means not letting us continue to protest."

The report cited online live footage showing large groups of female workers gathered on roads and open spaces outside the factory area. Some stood by the roadside watching, while others gathered to exchange information. Some workers recorded the scene with their mobile phones, and surrounding vehicles moved slowly. Uniformed police were present to maintain order during the period.

An employee from Rong County stated in an interview, "The notice came very suddenly, and everyone was unprepared. What we are most concerned about now is how wages and compensation will be calculated. We have worked hard, and the factory should also abide by the law."

On April 21st, collective gatherings of workers occurred outside multiple factory areas in Rong County and Beiliu. Some participants said that some workers once occupied the roads outside the factory that day, hoping to attract attention; videos from the scene showed workers hanging banners on the factory building roof to express their demands; outside the Chuangfeng factory in Beiliu, workers displayed slogans such as "Give me back my hard-earned money."

According to the report, the company's shutdown notice stated that in recent years, the US-China tariff trade friction has continued to intensify, and the overseas operating environment has changed. Due to overseas clients' delayed payments, the company experienced funding problems and ceased all business operations effective immediately.

Public information shows that Wah Shing Toy was established in the 1970s and is headquartered in Hong Kong. It has long been engaged in toy OEM production, with factories in Guangdong, Guangxi, and Southeast Asia. In recent years, with changes in orders and adjustments in production layout, some factories have successively ceased operations. At the end of 2025, when one of its factories in Dongguan, Guangdong, closed, it also triggered collective action by workers over compensation issues. (Editors: Zhou Huiying/Zhang Shuli) 1150428

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