10.11.2025 – 14.11.2025. (Weekly Presents)

The court has dismissed the case filed against the Pepsi soft drink factory based on a labor dispute after the plaintiff, a former employee of the company, voluntarily withdrew the case without any conditions.

U Thaung Han, a former employee of the Pepsi soft drink factory, filed a complaint with the Labor Dispute Arbitration Court of the Ministry of Labor after he was dismissed on October 31, 2022. The arbitration council rejected his application and he lost. The relevant Labor Department Township Office informed him that he could file a case in the court of competent jurisdiction if he felt aggrieved. The case was filed at the Mawbi District Court on (16-6-2023) according to the reply to him.

After the lawsuit was filed, the Mawby District Court closed the case on (21-10-2025) (66th) hearing after U Thaung Han voluntarily withdrew his case.

Regarding this case, Pepsi’s Lotte-MGS company issued a statement on November 5, stating that the statements made by some media outlets that the case was closed due to an (outside) settlement agreement between the employer and the employee were inconsistent with the facts.

In the statement, Pepsi noted that it was aware of the news that “the case was closed after both the employer and the employee reached an (outside) settlement agreement” in a recent news article about a former Pepsi employee. We would like to clarify that these reports are inconsistent with the actual situation on the ground. The court unconditionally closed the case because the plaintiff, the former employee, voluntarily withdrew the case at the last (66) hearing before the court issued its order. The company has never entered into any formal agreement (or) negotiation with the former employee outside the court and will not do so in the future, according to the statement.

Furthermore, Lotte-MGS has never commented or criticized judicial proceedings. As an entrepreneur and a company investing in Myanmar, we will conduct all of our company’s activities in accordance with existing laws, rules, procedures, and instructions, and will act with integrity, fairness, and transparency. The statement further stated that the company will continue to operate in accordance with the basic principles of responsibility/accountability, comply with existing laws and be transparent in business matters, and implement a workplace culture based on trust, respect, and accountability among all partners, employees, and stakeholders.