Tai Yuen Textiles has been fined R17 million ($2.3 million) by the South African Commission for Conciliation, Mediation and Arbitration.

According to reports, the KwaZulu-Natal-based textile firm received the fine for non-compliance with the National Textile Bargaining Council's wage provisions. It is believed that it was found guilty of underpaying 393 employees by R11.5 million between February 12, 2007, and April 27, 2008.

And, according to the Southern African Clothing and Textile Workers' Union, this is one of the highest fines imposed on a non-compliant employer. It is believed that the firm is considering an appeal against the decision.

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