Release of Investigative Report on Labour Rights in Hong Kong Enterprises in China 2014-2015
Sourced through Scoop.it from: en.hkctu.org.hk
A vast number of Hong Kong enterprises have set up factories or established businesses in China. Many of them are suppliers for international brands such as Marks & Spencers, Disney, UNIQLO, etc. Yet, the labour conditions in these enterprises have long been neglected, without an efficient monitoring mechanism.
HKCTU continued to run its “Monitoring Database of Labour Rights in Hong Kong Enterprises” since 2013. The key findings of the Investigative Report as as below:
- Nearly 70%, a significant growth of collective labour disputes: Between May 2014 and April 2015, the HKCTU collected 25 cases of documented collective labour actions in Hong Kong enterprises in China. Nearly 90% covered strikes and the rest were large-scale protests. Compared with the previous years, there is a nearly 70% growth of documented collective labour actions. This is related to the Hong Kong management’s refusal to engage in collective bargaining and its unprofessional manner in handling labour conflicts. Workers have no choice but to strike to force employers to negotiate.
- Missing social security premiums is the cause of over 55% of the collective labour disputes: Compared with last year (<15%), disputes caused by missing payment of social security have increased significantly. Missing or under-payment of severance pay at relocations, and missing wages are the two other reasons for collective labour actions, accounting for 44% and 40% respectively.
- Affecting an estimated 150,000 workers: It is estimated that these 25 cases of collective labour action, affected about 150,000 workers. Since 28 May 2010, the Publicity Department of the Communist Party of China has banned Chinese media from reporting or discussing strikes. Therefore, it is believed that the actual number of strikes is a lot higher than those documented.
- Nearly 85% of labour disputes triggered by violations of Labour Contract Law: As shown in these cases, the Hong Kong enterprises often violate multiple labour laws simultaneously. For example, an enterprise might refuse to pay both severance compensation and social security premiums at the same time. The Chinese authorities tend to side with the employers. They avoid responsibility by claiming that workers’ missing pension insurance is outside their administrative jurisdiction. This opens the door for the Hong Kong employers to avoid paying pension insurance for workers indefinitely; For those areas which are not clearly stipulated in the Labour Contract Law, the court gives judgement guidelines to judges, that open another door for the Hong Kong employers to avoid severance compensation.
Download the full report: http://en.hkctu.org.hk/assets/publications/20150831_Labour_Rights_Violation_Report_Eng.pdf