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China Dongguan Paper Mill Bankrupt: Hundreds of Workers Occupy Factory to Demand Unpaid Wages.
A major paper manufacturer in Dongguan, China—Senhe Paper and its subsidiaries—has declared bankruptcy, leaving more than 500 workers unpaid for up to five months. In response to the sudden shutdown and ongoing liquidation of company assets, workers have taken drastic action: blocking company trucks, guarding the factory premises, and selling off remaining materials in an effort to recover their lost wages.The mounting pressure led local authorities to step in. Officials have now sealed company assets and initiated a repayment plan, with a goal of settling outstanding wages by April 30, 2025. Despite this, many workers—some with more than a decade of service—remain uncertain about their future, receiving no clear answers regarding severance, back pay, or benefits.
The collapse of Senhe Paper has underscored deeper challenges facing China’s manufacturing sector, including declining exports, overleveraged expansions, and widespread labor violations such as unpaid leave and inadequate social insurance coverage. Labor advocates and legal experts are now helping affected employees file claims, while courts consider formal bankruptcy proceedings.
Full article: Aquarius Era on Substack
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