It was reported last month that more than 70,000 (230,000 reported by Ming Pao and Agence France Presse) women working m mostly Taiwan-owned shoe factories in southeastern Fujian could have been exposed to benzene poisoning 5 times the legal maximum (Ming Pao claims 10 times). At least 3 deaths were reported. Numerous women workers suffer from severe diseases caused by poisoning, and many are in critical condition.
In face of such incidents, many shoe corporations in Hong Kong claimed that the well known multinational shoe corporations are very concerned with workers' safety, and have regular monitoring work, so they do not worry that such incidents with take place in their factories in China and do not think that they need take up any special preventive action.
Mr. C.K. Lee, Managing Director of KTP Group, claimed that such incidents will not happen in their factories. Nike, Reebok and other famous shoe corporations will send delegates to their factories to investigate the safety condition, and to guarantee the health and safety of workers. Reebok even sets up the "Reebok Human Rights Production Standard" ("Standard") to monitor its business partners.
However, it seems that what Mr. Lee mentioned is not the reality. Hong Kong Christian Industrial Committee conducted a survey on shoe factories in the Pearl Delta, China in May to June last year. Five of Reebok's suppliers wae studied, including KTP Group, Liang Shing Group, Nority Group, Yue Yuen Group and Kingmaker Group. The following shows out the exploitation of workers in Reebok's suppliers.
1. Sex Discrimination
1. In the "Standard", Reebok claims that "(it) will seek business partners that do not discriminate in hiring and employment practices on grounds of race, color, national origin, gender, religion, or political or other opinion". But the Liang Shing Group which produces Reebok and La Gear dismisses women workers once they are found pregnant. Moreover, women older than 26 will not be employed.
2. Child Workers
"Reebok will not work with business partners that use child labor", states the "Standard". However, the Nority Group, one of Reebok's suppliers, violates such regulation. Nority workers in Donggung factory told us that child workers (those under 16) were working in their factory.
3. Freedom of Organization
The "Standard" promises that "Reebok will seek business partners that share its commitment to the right of employees to establish and join organizations of their own choosing.... Reebok recognizes and respects the right of all employees to organize and bargain collectively". But no unions are established in the factories of Nority Group and Kingmaker Group. The unions in Yue Yuen Group and Liang Shing Group are just for entertainment and introducing directives, but nothing about protection of worker rights and enhancing workers' welfare.
4. Forced Labor
Reebok affirms that "Reebok will not work with business partners that use forced or other compulsory labor". But workers in the Yong Shing Factory, a factory of Liang Shing Group, are only allowed to go out on weekend nights. In daily time, workers are watched by security guards when they go to the canteen and dormitory. A woman worker complained, "This (the factory) is a de facto detention camp. We are prisoners without being charged."
5. Fair wages
"Reebok will seek business partners who share its commitment to the betterment of wages and benefit levels that address the basic needs of workers and their families.... Reebok will not select business partners that pay less than the minimum wage required by local law...", states the "Standard".
Our survey indicates that workers of the Yue Yuen Shoe Factory in Zhuhai (owned by Yue Yuen Group) can get from Rmb 100* to 900 a month. Generally workers get around Rmb 500. However, this is resulted from long-time overtime work (It is common that workers in the Pearl Delta are requested to work at least 12 hours a day). Now the minimum monthly wage in Zhuhai is Rmb 380, so it should be more than Rmb.500 if the long overtime work is counted. It is reasonable to doubt that the Yue Yuen Factory violates the minimum wage regulation in Zhuhai.
In the Nority Factory in Donggung, the monthly wage is from Rmb 300 to 600. Without overtime work, workers can get around Rmb 200 a month. New comers make Rmb 7 to 7.5 only a day. A warehouse male worker who has worked in the factory for 3-4 years earns Rmb 10.5 a day, 2.2 for overtime a day (The minimum wage in Donggung is Rmb 350 a month, 15 a day and 2.99 per overtime hour). In short, workers' payment in Nority Factory is less than what the law requires.
It is the same in the Chuen Hing Factory in Shenzhen, another factory of Nority Group. New comers' daily payment is Rmb 7.5 to 8. Some workers who have 2-year working experience in the Factory make gain Rmb 8 a day. (the minimum wage in Shenzhen in 1995 is Rmb.320 a month, 14.56 a day, 2.73 per overtime hour). Moreover, the first month's salary is deducted for deposit.
In the Yong Shing Shoe Factory which belongs to the Liang Shing Group, new workers can earn Rmb 300 to 400 a month with a lot of overtime work. It is clear that workers have not gained a legal and reasonable remuneration. The management even requests workers Rmb 200 for deposit and deducts a month's salary. It is returned when workers resign.
6. Long hour work
Reebok claims that "(it) will seek business partners who do not require more than 60 hour work weeks on a regular scheduled basis, ... and it will favor business partners who use 48 hour work weeks as their maximum normal requirement".
In our survey, most Reebok7s business partners violate such promise. The Yong Shing Shoe Factory requests workers to work at least 12 hours a day except weekends. Workers can enjoy two days off only a month. Yong Shing workers are requested to work around 300 hours a month, 74 hours a week on average (Chinese Labour Law allows for 8 hour work a day, 3 hour overtime work a day, 44 hour overtime a month and 6 day work a week).
The Chuen Hing Shoe Factory of the Nority Group requests workers to work more than 11 hours a day. Workers often work until 11 pm-midnignt. Workers cannot enjoy a day off a month. On average, the working hours is up to 77 hours a week. The situation is worse in its sister factory, Nority factory. Workers are forced to work around 90-100 hours a week.
In the Bao Yuen Shoe Factory, one of Yue Yuen Group' s factories, workers work for, on average, 11.5 hours a day, 69 hours a week. In the Yue Yuen Factory, workers work for 12-13 hours a day, and 80-90 hours a week on average. Since management sets a very high production level which workers cannot meet within normal working hours (8 hours), the only way for workers is to work overtime. In order to leave earlier, workers start work at 6:00 am (the normal working time begins at 7:30am), and shorten the lunch hour.
7. Health and safety
"Reebok will seek business partners that strive to assure employees a safe and healthy workplace and that do not expose workers to hazardous conditions" claims the "Standard".
Workers in the five Groups' factories complained against the poisonous chemicals which cause skin diseases, dizziness, etc., and against poor ventilation facilities.
In the Yue Yuen Factory, a woman worker suffered from long-time snot running due to benzene poison. She could not eat. Finally, she was forced to leave the factory without any compensation.
These are facts happening in Reebok's business partners which are assumed to strictly follow the "Reebok Human Rights Production Standard", but these factories are reluctant to practice the "Standard", in fact. In August 1994, a fact revealed by both Hong Kong Christian Industrial Committee and Asian Wall Street Journal was that the Yue Yuen Factory in Zhuhai had accommodated 800 women workers into a factory building for two years, but this is absolutely prohibited according to Chinese Fire Regulations. When the news came out, the Reebok management realized the serious damage to Reebok's image. The Reebok management threatened to cancel the contract unless Yue Yuen moved the workers away from the factory building immediately. Under such circumstance, Yue Yuen workers' safety is improved.
In fact, the "Reebok Human Rights Production Standard" is a minimum one. Many human rights are not mentioned in the "Standard". Obviously some violation of workers' human rights in Reebok's suppliers are ignored in the "Standard", such as illegal detention, no employment contracts, prohibition of going out to meet others during rest periods. Reebok has failed to monitor its business partners to strictly follow its "Standard". On the other hand, Reebok disregards many workers' human rights. In public, Reebok has always used big words about human rights. It is proud to claim that all of Reebok's products are produced in a condition in which worker rights are fully respected. In fact, workers in Reebok's business partners are severely exploited. In short, to Reebok human rights is lip service only.
*1US$=Rmb 8 (approximate rate)