Posts tagged ‘Dongguan’

11/03/2015

Chinese shoe factory workers strike over benefits | Reuters

About 5,000 workers have gone on strike at a shoe manufacturer in southern China over benefits, two activists and a worker said, marking one of the biggest work-stoppages in the country in months.

The company that owns the factory, Stella International Holdings Ltd, lists Guess? Inc, Michael Kors Holding Ltd, Prada SpA and Burberry Group PLC among its customers.

China’s slowing economy, rising costs and the spread of social media have driven an increase in strikes. Last year, the number of strikes more than doubled to 1,378 from 656 the year before, according to China Labour Bulletin, a Hong Kong-based advocacy group.

The strike at Stella’s Xing Ang factory in the city of Dongguan started on Sunday with workers unhappy about not receiving housing assistance, said Liu Zai, who added she had not received the funds in eight years at the factory.

“We want an explanation. Why haven’t they paid this for so many years?” she said by telephone.

Liu and two activists said all of the factory’s workers, about 5,000 people, were on strike. On Wednesday, most were forced to return to their workplace but were still refusing to work, Liu said.

via Chinese shoe factory workers strike over benefits | Reuters.

27/01/2015

New highway encircles stubborn homeowners – Chinadaily.com.cn

A room with a 360-degree road view

New highway encircles stubborn homeowners

If you can’t build through it, build around it – city planners seem to have taken this advice quite literally.

Motorway builders encircled the homes of three Chinese families with a four-lane flyover after they refused to make way for the bulldozers.

Demolition teams in Guangzhou had planned to destroy the houses in order to connect the city’s road network to a recently opened tunnel under the Pearl River.

A photograph of the so-called “nail houses” – so named because they proved difficult to move–completely surrounded by the flyover, proved popular on the Chinese Internet this week.

Some Internet users joked that authorities had given locals homes “with a 360-degree road view”.

via New highway encircles stubborn homeowners[1]- Chinadaily.com.cn.

11/09/2014

Tech factory workers strike in China over mooncakes, benefits | Reuters

About 16,000 workers at two subsidiaries of Taiwanese touch-screen maker Wintek Corp went on strike over holiday benefits this week in southern China in one of the biggest work stoppages this year, the Xinhua news agency reported.

A Wintek executive said the strikes started on Tuesday at subsidiary Dongguan Masstop Liquid Crystal Display Co Ltd and spread on Wednesday to Wintek (China) Technology Ltd. Each factory employs about 8,000 workers, said the executive who declined to be identified as he was not authorised to speak on behalf of the company.

The strikes ended on Wednesday and Thursday, respectively, and the company did not expect production to be affected, the executive added. He did not say how many workers had participated.

Wintek is a long-time supplier to Apple Inc, but it was not immediately clear who the factories’ main customers were. A Wintek Corp facility in the eastern city of Suzhou, near Shanghai, is on the iPhone and iPad maker’s list of 2014 suppliers, but not the factories in Dongguan.

An Apple spokesman in California said the company generally did not comment on supplier relationships beyond the list.

Six police vehicles were parked in the rain outside the gates of the Wintek factory in an industrial estate in the southern city of Dongguan on Thursday, although there were no workers in sight.

A manager surnamed Wu said: “Things have been settled now. The workers are back to work.”

China has seen a surge in the number of strikes at its factories in recent years as the economy slowed and a worsening labor shortage has shifted the balance of power in labour relations. Smartphones and social media have also helped workers become more aware than ever of the changing environment.

The largest strike in decades took place in April when about 40,000 workers halted production at a shoe factory complex in Dongguan that supplies Nike Inc, Adidas AG and other major sneaker brands. Those workers were unhappy about insufficient social insurance payments.

Workers involved in the Wintek strike told Xinhua that recruitment advertisements had offered cash bonuses equal to half of their monthly base salary on three holidays: the Dragon Boat Festival, Mid-Autumn Festival and Spring Festival.

A worker surnamed Zhang told Xinhua they were only given 100 yuan, a piece of chicken and a banana for Mid-Autumn Festival, which was on Monday. Last year each staff member received 700 yuan ($114.17) in cash and a box of traditional mooncakes.

The workers returned to work after officials explained that the downgraded holiday benefits were a reflection of the company’s relatively weak performance so far this year, the Wintek official said. Wintek incurred a loss in the first half.

via Tech factory workers strike in China over mooncakes, benefits | Reuters.

28/04/2014

Labour unrest: Danger zone | The Economist

THE Pearl river delta in the southern province of Guangdong is no stranger to strikes, most of them small and quickly resolved. But a walk-out by workers at factories owned by a Taiwanese company, Yue Yuen, the world’s largest maker of branded sports shoes, including big names such as Nike and Reebok, has been remarkable for its scale and duration. It began on April 5th and has grown to involve tens of thousands of employees. On a sprawling industrial estate, angry workers watched by riot police rage about an issue few cared much about until recently: their pensions. For bosses and officials, this is a worrying sign of change.

The government has imposed a virtual news blackout on the unrest in the city of Dongguan, a place synonymous with the delta’s manufacturing heft (nearly 80% of its 8.3m people have moved there from other parts of China over the past three decades, or are the children of such migrants). Foreign journalists have been allowed onto Yue Yuen’s main estate in Gaobu township, a Dongguan suburb, but strikers complain that Chinese media are kept away. This contrasts with a relatively free rein given to Chinese reporters in 2010 to report on a large strike over pay by workers at a factory owned by Honda in Foshan, another delta city. That incident involved putting pressure on a Japanese company, an uncontroversial target for most Chinese. This latest, bigger strike (one of the largest in years involving a non-state enterprise in China) has touched a more sensitive government nerve.

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The workers accuse Yue Yuen of failing for years to make due contributions to their pensions, which are administered by the local government. Lax application of social-security laws is common, since local authorities do not want to drive away business. “The government is corrupt,” calls out one man among a group of strikers who have gathered near a row of factories. Such comments—directed at local officialdom, not Beijing—are almost as commonly heard as tirades against Yue Yuen itself. Workers fume at the heavy deployment of police, and the beating of some of the thousands of strikers who have been marching through nearby streets, most recently on April 18th (see picture).

Many employees say they are now too afraid to march again. Their protest has become a silent one: they clock in each morning, but then leave the factory and do no work, coming back to clock out when their shift is supposed to end. Workers say all 40,000 employees at Yue Yuen’s seven factories in Gaobu are on strike. A member of Gaobu’s Communist Party committee, Su Huiying, says 40% of them are at work and the rest are only on a “go-slow”. Her assertion appears unconvincing.

A Taiwanese manager at the company says “progress” is being made towards settling the strike. Yue Yuen has offered to make up social-security contributions that it has failed to pay; it has also agreed to start making full contributions from May 1st. But as they listen to repeated broadcasts of the company’s offer through loudspeakers, strikers respond with howls of derision. They also tear up copies of a letter from the government-backed trade union which is mediating in the dispute. The missive calls on workers to go back to work and acknowledge the company’s “sincerity”. “The unions aren’t like the ones in the West,” says one worker. “Here they just represent the government.”

Such anxieties about pension provision among a workforce in Guangdong mostly made up of young migrants may sound surprising. But they are becoming increasingly common as factories try to cope with a growing shortage of young workers from the countryside by retaining employees for longer. Many of Yue Yuen’s workers are in their 30s or even 40s, and many say they have been with the company for a decade or more. Geoffrey Crothall of the Hong Kong-based China Labour Bulletin says this has been the largest strike in a non-state factory over social-security payments, but protests over such issues are becoming more common.

via Labour unrest: Danger zone | The Economist.

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15/04/2014

Massive China shoe factory strike rolls on as offer falls flat | Reuters

Thousands of workers at a giant Chinese shoe factory shrugged off an offer for improved social benefits on Tuesday, prolonging one of the largest strikes in China in recent years amid signs of increased labor activism as the economy slows.

Yue Yuen Industrial Holdings

Yue Yuen Industrial Holdings (Photo credit: Wikipedia)

The industrial unrest at Yue Yuen Industrial (Holdings), now stretching to around ten days and sparking sporadic scuffles with police, has centered on issues including unpaid social insurance, improper labor contracts and low wages. Workers have demanded improved social insurance payments, a pay rise and more equitable contracts.

“The factory has been tricking us for 10 years,” said a female worker inside a giant industrial campus in Gaobu town run by Yue Yuen in the southern factory hub of Dongguan in the Pearl River Delta. “The Gaobu government, labor bureau, social security bureau and the company were all tricking us together.”

A spokesman for Yue Yuen said the firm, which makes shoes for the likes of Nike, Adidas, Reebok, Asics and Converse with a market capitalization of some $5.59 billion, had agreed to an improved “social benefit plan” on Monday, while stressing the business impact had been “mild” so far.

“Basically, the terms that we announced yesterday was after a very thorough internal analysis and calculation and considering all the factors including the affordability from the factory perspective,” the spokesman told Reuters by phone.

via Massive China shoe factory strike rolls on as offer falls flat | Reuters.

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18/02/2014

* China tells police to go nationwide with vice crackdown | Reuters

China’s government told police across the country to get tough on prostitution, gambling and drugs following an expose in the “sin city” of Dongguan, where a crackdown on prostitution led to the detention of nearly 1,000 people this month.

The announcement, on the Ministry of Public Security‘s official website late on Monday, said investigations had begun in several provinces, and police had broken up 73 vice rings and closed down 2410 prostitution and gambling dens over the past week.

China outlawed prostitution after the Communist revolution in 1949, but it returned with a vengeance following landmark economic reforms three decades ago, and has helped fuel a rise in HIV/AIDS and other sexually transmitted diseases.

Gambling is also banned in China with the exception of heavily regulated state-sanctioned lotteries.

While periodic sweeps against vice have been carried out, it has thrived. Law enforcement is often lax.

In a warning to what the authorities call the “protective umbrella” of official collusion, the ministry said officials would be “seriously investigated, and crimes will be resolutely investigated in accordance with the law”.

via China tells police to go nationwide with vice crackdown | Reuters.

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10/02/2014

Chinese Startup Oppo Ropes In Bollywood Stars for India Launch – India Real Time – WSJ

As competition intensifies in the global smartphone market, major players including Samsung Electronics and Apple have been spending heavily to market their latest devices through ads and celebrity endorsements. Now, even some startups in China are getting in on the action.

After enlisting famous Hollywood actor Leonardo DiCaprio to star in television commercials to promote its smartphones in China, Oppo is trying to expand in India by using a similar tactic. It is featuring Bollywood actors Hrithik Roshan and Sonam Kapoor in its latest TV commercial as it tries to expand in the fast-growing country.

Oppo started as a manufacturer of MP3 players, Blu-Ray players and feature phones in Dongguan, southern China in 2005. It released its first smartphone in 2011, selling mainly in China, but it is now trying to expand in emerging markets such as India, Indonesia and Vietnam that have a young population and rising purchasing power.

via Chinese Startup Oppo Ropes In Bollywood Stars for India Launch – India Real Time – WSJ.

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06/02/2014

James Bond’s Sports Car Has Chinese Supply-Chain Problems – Businessweek

Aston Martin, the luxury sports car manufacturer often associated with James Bond, has the same problem as Mattel’s (MAT) Hot Wheels: glitches in the Chinese supply chain.

Aston Martins

The legendary sports car company is recalling more than 5,000 cars manufactured since 2007. According to a Jan. 15 letter (pdf) from Aston Martin to the U.S. National Highway Traffic Safety Administration, the company investigated after reports of throttle pedal arms breaking during installation. Its discovery: “Initial tests on the failed pedal arm have shown that the Tier Three Supplier used counterfeit material.”

The luxury sports cars’ throttle pedals are assembled in Swindon, England, by a company known as Precision Varionic International, which in turn gets its parts from Fast Forward Tooling in Hong Kong. In this case, Fast Forward Tooling subcontracted the molding of pedal arms to Shenzhen Kexiang Mould Tool Co., which bought its allegedly “counterfeit material” from Synthetic Plastic Raw Material Co. in the Chinese factory town of Dongguan. And apparently, James Bond’s gadget man Q was not on hand to inspect quality.

via James Bond’s Sports Car Has Chinese Supply-Chain Problems – Businessweek.

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