CFP Subcontractors Appeal to Korean Embassy for Intervention in Wage Dispute


BANGKOK: In a significant move to address a financial impasse, over 500 workers from the Clean Energy Project (CFP) subcontractor group of Thai Oil Public Company Limited gathered at the Embassy of the Republic of Korea. Their aim is to seek assistance in pressuring Samsung Corporation to facilitate the payment of over 6 billion baht in outstanding wages owed by the UJV-Petrofac-Samsung-Saipem joint venture.

According to Thai News Agency, the subcontractors submitted a letter to the South Korean Embassy, requesting their intervention with Samsung Corporation, the parent company of Samsung E and A (Thailand) Co., Ltd., a key contractor in the CFP project. The subcontractors are urging Samsung to expedite the payment process, which has been delayed despite UJV having already received the funds from Thai Oil. The labor group emphasized the urgency of the situation, seeking disbursement by the end of this year.

The letter included a list of more than 100 subcontractors affected by the non-payment, highlighting
the potential impact on over 10,000 workers and the risk of a prolonged financial crisis. The subcontractors warned that the ongoing issue could exacerbate poverty among workers and potentially lead to social unrest and increased crime rates.

The subcontractors criticized the actions of the main contractors, led by Samsung E and A (Thailand) Co., Ltd., for damaging the project’s reputation and adversely affecting the business climate and investor confidence. They noted that the project, where the state holds a major share, has suffered losses and additional costs due to delays.

Furthermore, the subcontractors expressed that the unpaid wages issue has tarnished Korea’s image and strained bilateral relations with Thailand. They called on the Embassy to take decisive actions, including urging Samsung E and A (Thailand) Co., Ltd. to expedite payments, ensure fair contract terms, and facilitate communication to amicably resolve the issue.

In their letter, the subcontractors also warned that if no response is re
ceived by the end of the year, they plan to escalate their demands at the Enco Building in Bangkok, home to PTT Public Company Limited, Thai Oil’s parent company, in early 2025 to seek a fair resolution.