Tag Archive for: China

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Conflict and Economic Downturn Cause Global Increase in Reported Child Labor Violations- 40% of Countries now rated ‘extreme risk’ by Maplecroft

Brazil, China, India, Indonesia and Philippines expose companies to high levels of supply chain risk

An annual study by risk analysis firm Maplecroft has revealed that 76 countries now pose ‘extreme’ child labour complicity risks for companies operating worldwide, due to worsening global security and the economic downturn. This constitutes an increase of more than 10% from last year’s total of 68 ‘extreme risk’ countries.

The Child Labour Index 2012 evaluates the frequency and severity of reported child labour incidents in 197 countries. Worryingly, nearly 40% of all countries have been classified as ‘extreme risk’ in the index, with conflict torn and authoritarian states topping the ranking. Myanmar, North Korea, Somalia, Sudan are ranked joint first, while DR Congo (5), Zimbabwe (6), Afghanistan (7), Burundi (8), Pakistan (9) and Ethiopia (10) round off the worst performers.

The Child Labour Index has been developed by Maplecroft to evaluate the extent of country-level child labour practices and the performance of governments in preventing child labour and ensuring the accountability of perpetrators. By doing so, the index enables companies to identify risks of children being employed within their supply chains in violation of the standards on minimum age of employment. The index also analyses the risk of the involvement of children in work, the conditions of which could have a negative impact on the health, safety and wellbeing of child labourers.

Maplecroft suggests that the global increase in the use of child labour is mainly caused by a deteriorating human security situation worldwide. This has resulted in increased numbers of internally displaced children and refugees who, together with children from minority communities, continue to be the groups at most risk of economic exploitation. Sub-Saharan Africa is identified as the region posing the most risk in this respect but most of the growth economies have their own unique conditions in respect of child labour and its remediation. Read more

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Disney Factory Faces Probe into Sweatshop Suicide Claims

guardian.co.uk

Human rights campaigners say Chinese factories using children as young as 14 and that workers forced to do overtime

A Sturdy Products’ employee works to fulfill orders, for ranges that include Disney ­merchandise. But a monitoring group claims that workers’ rights are often abused

Disney’s best-selling Cars toys are being made in a factory in China that uses child labor and forces staff to do three times the amount of overtime allowed by law, according to an investigation.

One worker reportedly killed herself after being repeatedly shouted at by bosses. Others cited worries over poisonous chemicals. Disney has now launched its own investigation.

It is claimed some of the 6,000 employees have to work an extra 120 hours every month to meet demand from western shops for the latest toys.

The factory, called Sturdy Products, makes toys for the giant Mattel Company, which last month announced quarterly profits of £48m on the back of strong sales of Barbie dolls and Cars 2 toys. Sturdy Products, in the city of Shenzhen, also makes toys for US superstore chain Wal-Mart. Among the brands produced are the Thomas the Tank Engine range, Matchbox cars, Cars, Toy Story, Barbie and Fisher Price products, Scrabble and the Hot Wheels sets.

The undercover investigation was carried out with the help of human rights group Sacom (Students and Scholars Against Corporate Misbehavior), which helped to expose abuses in Apple’s Foxconn plant in China this year.

Workers were interviewed away from the factory, and an investigator then spent a month working inside it to gather more information. He found evidence of the use of child labor and illegal working hours, along with concerns over the use of poisonous chemicals.

Sacom’s accusations against the factory include:

■ The employment of a 14-year-old. Staff also reported the presence of other child workers, according to the investigator.

■ Routine excessive overtime. Employees produced a “voluntary” document they said they had to sign agreeing to work beyond the maximum overtime legal limit of 36 hours a month, along with wage slips that suggested they were averaging 120 hours of overtime a month.

■ A harsh working environment in which workers complained of mistreatment by management. One worker injured on the production line was shouted at and ordered back to work despite needing medical treatment.

■ Concerns about the chemicals in use and poor ventilation. Employees claimed three workers had fallen ill. They said they had to hide pots of adhesive and thinners during audits of the factory by its client companies.

■ They also claimed that they were paid by the factory to give misleading answers during audits and that they were fined for failing to hit targets. The calculation of wages for different workers was described by Sacom as arbitrary.

Concerns were raised about conditions at Sturdy Products when a 45-year-old female employee, Hu Nianzhen, jumped to her death from a factory building in May after she was allegedly shouted at by managers.

Colleagues subsequently described the environment in the factory as tense and complained about the demanding workload. “A female worker committed suicide,” one said, “because she was always scolded. However, I feel helpless because it is not easy for me to find another job.”

The allegations are sure to concern many parents whose children are pestering them to buy the extensive range of Cars 2 toys launched to coincide with the movie, which hit UK cinema screens in July. Cars 2 has so far grossed £303m worldwide, overtaking the original movie despite being panned by critics. The poor reviews have not hindered sales of the merchandise, which Disney expects to exceed the £1.7bn spent last year on Toy Story 3 merchandise. Cars 2 toys will compete with Transformers and Smurfs items as the must-have Christmas toys.

But Sacom said that parents should think twice before buying the toys. A spokeswoman said: “Mattel, Wal-Mart and Disney, the renowned toy companies, always claim they strictly comply with local laws and adhere to their respective code of conduct. The rampant violations at Sturdy Products, including excessive overtime, arbitrary wages, unfair punitive fines, child labor and negligence of occupational health, prove that the pledges are empty statements. There is no effective enforcement mechanism and remedies for workers at all.”

She said the violations exposed the failings of the International Council of Toy Industries, which is supposed to police the industry.

“Consumers could never expect that the lovely toys which bring joy to children are manufactured in such deplorable conditions. They should convey messages to toy companies including Mattel, Wal-Mart and Disney to launch remedial actions to compensate the wronged workers. Without remedies, there is no cost for labor rights violations.”

She said the companies should already have been aware of the dangers of dealing with Sturdy Products after a previous investigation in 2007 uncovered similar problems. That investigation also found a six-day working week, with staff working up to 288 hours a month. During peak periods there was a compulsory seven-day week and the company was found to be failing to pay the minimum wage. Investigators said that some employees had attempted to raise awareness of the abuses by setting up their own group to inspire colleagues to fight for their rights.

Sturdy Products’ parent company, Winson, failed to respond to requests to discuss the allegations.

Wal-Mart issued a statement in which it said: “As soon as we learned of the allegations of human rights abuses at the Sturdy Products factory, we immediately launched an investigation. We are also in contact with the International Council of Toy Industries, a worldwide toy industry organization that is also investigating this issue. We take reports like this very seriously and we will implement a corrective action plan if our investigations confirm any of the findings.

“We remain committed to sourcing merchandise that is produced responsibly by suppliers that adhere to Wal-Mart’s rigorous Standards for Suppliers code of conduct.”

Disney said: “We take these matters impacting our licensees and business partners very seriously and will continue to evaluate this situation based upon the information available to us.”

Mattel declined to comment directly on any of the allegations other than to note that the company was “deeply saddened” by the suicide but that, while it was “very tragic”, it was an isolated event and local authorities had found nothing suspicious about the circumstances.

The company said it had carried out a detailed investigation. It said it was committed to working collaboratively through the International Council of Toy Industries’ Care (Caring, Awareness, Responsible, Ethical) process “to achieve continuous improvements in factory working conditions”.

Sacom’s findings brought a rebuke from the International Council of Toy Industries’ Care Foundation. “We are the first to concede that much more work lies ahead of us, but we refuse to accept the sensationalist, media-oriented declarations of any group, especially when they are carping and filled with incorrect information. It is simply counter-productive,” the foundation said.

“The plain truth is that workers in many toy factories in China are better off now than they were before and that this is due in considerable part to the ICTI Care Process.”

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Apple Report Reveals Child Labor Increase

Tania Branigan in Beijing

Apple’s annual report says 91 children worked at its suppliers in 2010, and 137 workers were poisoned by n-hexane

Apple said it had strengthened its checks on age because of concerns about falsification.

Apple found more than 91 children working at its suppliers last year, nine times as many as the previous year, according to its annual report on its manufacturers.

The US company has also acknowledged for the first time that 137 workers were poisoned at a Chinese firm making its products and said less than a third of the facilities it audited were complying with its code on working hours.

Apple usually refuses to comment on which firms make its goods, but came under increased scrutiny last year following multiple suicides at electronics giant Foxconn, one of its main suppliers.

Last month, anti-pollution activists accused the firm of being more secretive about its supply chain in China than almost all of its rivals.

The report says Apple found 91 children working at 10 facilities. The previous year it found 11 at three workplaces.

It ordered most to pay the children’s education costs but fired one contractor which was using 42 minors and had “chosen to overlook the issue”, the company said. It also reported the vocational school that had arranged the employment to the authorities for falsifying student IDs and threatening retaliation against pupils who revealed their ages.

Apple said it had strengthened its checks on age because of concerns about the falsification of ages by such schools and labour agencies. It also audited 127 facilities last year, mostly for the first time, compared with 102 in 2009.

The report shows a marked decrease in compliance on working hour requirements of a maximum 60-hour week with one day off. In 2009, only 46% met the standard; last year that fell to 32%.

Only 57% were compliant with its code on preventing working injuries and 70% or fewer met standards on air emissions, managing hazardous substances, and environmental permits and reporting.

But there were some signs of improvement in other areas. Compliance on wages and benefits improved from 65% in 2009 to 70%.

The report also says that 137 workers at a Suzhou supplier were poisoned by n-hexane, a hydrocarbon, last year. Previous reports had indicated 62 employees were affected and Apple had declined to answer repeated queries about the incident.

A spokesperson said it had “provided more transparency” regarding the company and Foxconn given recent concerns.

The report said Apple was “disturbed and deeply saddened” by the Foxconn deaths. Apple’s chief operating officer, Tim Cook, and other executives went to Shenzhen to see the facilities and the firm commissioned an independent review of conditions.

“I think it is positive that after such a long delay Apple has finally acknowledged the [n-hexane] problem,” said Ma Jun of the Institute for Public and Environmental Affairs, one of the organisations that criticised the US firm last month.

But he added: “This report shows that Apple is still not ready to accept public scrutiny … We have listed the names of some Apple suppliers but there is no mention of them [here].”

Debby Chan, of Hong Kong’s Students and Scholars Against Corporate Misbehaviour campaign, said there was no way for others to monitor the behaviour of suppliers because Apple would not identify them or even say how many it had.

“I regard this report as a means of image-building rather than ensuring compliance with labour rights,” she added.

Apple said that immigrant workers in countries such as Malaysia had been reimbursed $3.4m (£2.1m) in “exorbitant” recruitment fees since 2008 thanks to its checks. It has also increased efforts to crack down on the use of potential conflict minerals and expanded social responsibility training.

It is unusual in publishing its audit report and said 40% of the facilities audited last year said Apple was the first company to check them for social responsibility compliance.

The report also said that 99% of facilities met its freedom of association requirements.

But independent unions are not allowed on the Chinese mainland and Geoff Crothall, of Hong Kong’s China Labour Bulletin, said: “It is Henry Ford-style freedom of association: You can have any union as long as it is [in] the Associated Federation of Trade Unions.”

Last month, Apple reported record profits of $6bn for the fourth quarter of 2010.

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Apple’s child labour issues worsen

Apple, the technology giant, has admitted that child labour is a growing problem at the factories which manufacture its computers, iPods and mobile phones.

In one factory it had found 42 children working on the production line and has now terminated its contract.

[The Telegraph]

Apple said that 91 children under the age of 16 were discovered to be working last year in ten Chinese factories owned by its suppliers.

By comparison, in 2009, Apple said eleven underage workers had been discovered.

“In recent years, Chinese factories have increasingly turned to labour agencies and vocational schools to meet their workforce demands,” said Apple’s report.

“We learned that some of these recruitment sources may provide false IDs that misrepresent young people’s ages, posing challenges for factory management,” it added.

In response, Apple said it had “intensified” its search for workers under 16, the minimum legal working age in China. In one factory it had found 42 children working on the production line and has now terminated its contract. Apple said it decided that the management “had chosen to overlook the issue and was not committed to addressing the problem.”

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Loopholes ‘put UK children at risk’

 [from the Belfast Telegraph]

The legacy of years of indifference to child sex tourism is putting British children at risk, according to a report.

Ecpat UK, which campaigns to stop child abuse, also warned that paedophiles convicted of offences against children abroad are escaping UK sanctions because of loopholes in the British legal system.

Home Secretary Theresa May should act to close a loophole which enables sex offenders to travel abroad for up to three days without informing the authorities, Ecpat UK said.

Director Christine Beddoe said the charity was “deeply concerned” that “the legacy of years of indifference to child sex tourism is placing British children at risk”.

“Data about British sex offenders abroad is patchy, rarely shared between authorities and it is uncertain how much ever gets on to the UK criminal records data base,” she said.

“The Government simply don’t know how many British sex offenders have been prosecuted abroad and then slip back into the UK undetected.

“Despite their ongoing risk to children and the fact that many of these individuals are known to authorities both in the UK and in the country in which the abuse took place, these individuals often fall off the radar.”

Its report – Off The Radar: Protecting Children From British Sex Offenders Who Travel – also called for a cross-Government strategy to deal effectively with the investigation and prosecution of child sexual offences committed abroad.

It went on: “We are concerned about the vulnerability of children in international schools and orphanages because of the lack of information-sharing between jurisdictions, and the fact that international organisations are unable to access the criminal records-checking procedures that would be expected as standard procedure by UK institutions.”

Ecpat UK stands for End Child Prostitution, Child Pornography and the Trafficking of children for sexual purposes.

Read more: https://www.belfasttelegraph.co.uk/news/local-national/uk/loopholes-put-uk-children-at-risk-15083426.html?r=RSS##ixzz1E3kMC74E

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Reid Maki/CLC Coordinator

reidm@nclnet.org/202.207.2820

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A dozen nations added to U.S. Government child, forced labor list (AP)


WASHINGTON — The Labor Department is adding a dozen countries to the list of nations that use child labor or forced labor, as officials warn the global economic crisis could cause an upswing in the exploitation of children and other workers.

From coffee grown in El Salvador to sapphires mined in Madagascar, the agency’s latest reports, to be released Wednesday, identify 128 goods from 70 countries where child labor, forced labor or both are used in violation of international standards.

“Shining light on these problems is a first step toward motivating governments, the private sector and concerned citizens to take action to end these intolerable abuses that have no place in our modern world,” said Labor Secretary Hilda Solis.

New to the list are Angola, Central African Republic, Chad, El Salvador, Ethiopia, Lesotho, Madagascar, Mozambique, Namibia, Rwanda, Zambia and Zimbabwe.

Read more

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World Cup Profits Bypass Asian Soccer-Ball Stitchers

By James Rupert

June 9 (Bloomberg) — Asian workers who stitch nearly all the world’s soccer balls have seen little improvement in lives dominated by poverty, a report said days before the start of the World Cup, which promises sports gear companies a sales bonanza.

Thirteen years after companies such as Germany’s Adidas AG and Nike Inc. joined labor and development organizations to end the use of an estimated 7,000 children to stitch soccer balls, “child labor continues to exist” in the three main ball-making countries of Pakistan, China and India, according a June 7 report by the Washington-based International Labor Rights Forum.

In those countries and Thailand, the fourth major ball- producer, adult workers often are paid too little to support their families. Some children still stitch balls at home, while others have migrated to new work, the report said.

“The international campaign of the 1990s removed bonded child labor from our soccer-ball industry, but these children moved to auto workshops, brick kilns and the like,” said Arshed Makhdoom Sabir, president of Ours Pakistan, a non-profit, development organization in Sialkot, Pakistan.

Sialkot is the hub of an industry that made about 75 percent of the world’s hand-sewn soccer balls in the 1990s, and still makes most high-quality balls, the ILRF report said. Adidas is marketing Sialkot-made replicas of its high-tech Jabulani, a machine-molded ball made in China for use in World Cup matches.

Sub-Minimum Wages

The labor forum’s researchers surveyed 218 workers for Sialkot companies that export balls and other products to sports retailers including Nike and Adidas, the two largest in the world. While suppliers for the two big companies provided better conditions for their workers, more than half of Sialkot’s soccer-ball stitchers reported 2009 pay that was below Pakistan’s monthly minimum wage of 6,000 rupees ($70), the report said.

For sewing together the 32 polyurethane outer panels of a soccer ball that sells for $50 in the United States, a Sialkot worker is paid as little as 50 rupees (59 cents) “so obviously international companies can make bigger profits in Pakistan,” Sabir said.

Adidas, Nike

Adidas, based in the Bavarian town of Herzogenaurach, is sponsoring the FIFA World Cup and 12 of the 32 competing national teams, in an effort to beat its 2008 record soccer- related sales of 1.3 billion euros ($1.92 billion), which was fueled by that year’s European Championship tournament. Beaverton, Oregon-based Nike is sponsoring 10 teams in the tournament, which kicks off in South Africa on June 11, as it challenges Adidas’s dominance in soccer retailing.

“Adidas believes that factory wages should always meet basic needs and also provide for reasonable savings and expenditure” by workers, said company spokeswoman Katja Schreiber in an e-mail. Adidas suppliers pay permanent workers “an average of 7,500 rupees per month, plus social benefits,” she said.

Nike “has been working to change how factories in Pakistan pay for soccer balls to shift the industry from a piece-goods system to a wage-based system,” spokesman Derek Kent said by e- mail. The company “hopes to leverage this new model and our experience to establish best practices in the industry.”

Informal Economy

While Pakistan’s economy grew an average annual 7.2 percent from 2004 to 2007, the availability of formal jobs for Pakistanis declined, said Haris Gazdar, an economist at the Collective for Social Science Research in Karachi, Pakistan. By 2008, nearly 83 percent of male workers, and 93 percent of employed women worked in the informal economy, some as soccer- ball stitchers, beyond the effective reach of minimum wage laws and most other workers’ protection rules, Gazdar said.

Seventy percent of Pakistanis stitching balls are casual workers, often in violation of a law requiring employment contracts and the status of “permanent” worker after nine months of employment, the ILRF report said.

Pakistan on June 5 increased the minimum wage to 7,000 rupees ($82) per month, although “it might need to be twice that level” to let most workers meet basic needs for the average family of seven people, said Gazdar. The World Bank estimates that a quarter of Pakistan’s 180 million people live on less than $1 a day.

China, India

Sialkot-based Awan Sport Industries Ltd., which makes balls for Adidas, and Silver Star Group, which manufactures for Nike, provided significantly better working conditions than most local ball-makers because they used more permanent employees “in formal factory settings,” the report said.

Most Chinese soccer balls are machine-made, although companies in Jiangsu province hire women and children to hand- stitch balls, according to the report. Children still sew balls by hand in the Indian cities of Meerut and Jalandhar, it said.

–With assistance from Matt Townsend in New York and Holger Elfes in Dusseldorf. Editors: Mark Williams, John Brinsley

https://www.businessweek.com/news/2010-06-09/world-cup-profits-bypass-asian-soccer-ball-stitchers-update1-.html

To contact the reporter on this story: James Rupert in New Delhi at jrupert3@bloomberg.net

To contact the editor responsible for this story: Bill Austin at billaustin@bloomberg.net