The Chief Asia Inspector Blog

Child Labor : still a long way to go ...

Given the business I am in with AsiaInspection, I can only react to the news of Beijing Olympic Games merchandises being manufactured by Chinese rogue factories employing children...
There is a highly symbolic value to this news, which brings together 2 of the most popular topics, one positive and one negative, when it comes to China. Moreover, the story comes to light, quite ironically, when yesterday was the official World Day against Child Labor.

This is obviously a highly-debated subject, but I still find it interesting that Olympics officials can tell reporters about the factories involved: "They have told us they did not employ child labor at all"... Told us ??

In my opinion, the least they should have done,  when they knew the whole world was watching every of their steps, and when they are supposed to convey positive ethical values through the Olympic spirit, was to order / impose a proper Social Audit program on all suppliers & factories involved...

Direct from the Factory - episode 3

Another episode of our Inspections videos series, gathered around China. This time we are in a Glass Factory, located in northern China (Shangxi province), where, as you can imagine, there have been some arguments about working safety conditions...

Secrets, lies and sweatshops...

Read this interesting article on Business Week about how American companies handle their corporate responsibility when dealing with suppliers in China.
If the article tends to say, quite rightly, that Social Audits are more about image than actual improvements on site, I can not help but argue, from AsiaInspection experience, that it still contributes to educate and send a strong message to the factories.

Inside the factory

• A major multinational company recently asked us to audit one of their supplier’s China factories, and our Auditor found two workers just shy of their 16th birthdays on the factory floor. The legal working age in China is 16. The client’s immediate response:

• Business with this particular factory has been suspended.
• Both supplier and factory have been asked to correct the problem and to put measures in place to ensure it doesn’t happen again.
• A second follow-up audit is to be carried out, at the supplier’s expense.
• The factory must offer a job to the kids' family members to ensure no loss of revenue for the household.

These issues -especially now when any whiff of social irresponsibility, negligence or exploitation can be devastating for their image. Although child labor is much more common in countries like India and Bangladesh than in China, it should be noted that the legal working age in some countries is 15 rather than 16 and that the notion of apprenticeship muddies the waters. Even in France, the legal working age was 14 until well into the 1960’s.   

Small tip for quick action (but not a replacement for a solid policy): ask the factory to create an HR file which contains a copy of an id for each employee with a record of starting and leaving date. In the long run, multinational companies will be judged by their ability to put social auditing processes in place and by how swiftly the respond to nasty surprises.   

“Sweatshop” Propaganda Wars continue

This slickly made ad lampoon attributed to French satirical TV show Les Guignols is doing the internet rounds (and here), suggesting Nike factory conditions in Asia leave something to be desired, to put it mildly.
Several points:
• Horror stories do deserve exposure. But beware: there are plenty of non-altruistic reasons why like to people start throwing dirt around, even if it doesn’t stick (e.g. über-brand Apple is facing the ignominy of answering the question “Are iPods really evil as people believe?” - read more here).
• But in my experience – which includes inspecting literally hundreds of Chinese factories per year – the majority of Chinese factories aren’t any less (or more) pleasant than factories elsewhere. The news is not all bad! For light-hearted confirmation, for example, click here.
• Overall, factory conditions in China have vastly improved over the last decade – in part due to a labor shortage. As I have pointed out before, workers who are in demand have power.
• Implying that “made in China” necessarily means “made in Sweatshop” is false and counterproductive to improving factory conditions. How? Duped “ethical buyers” who buy the stereotype may just avoid anything China-made instead of learning to discern between one Chinese manufacturer and another. The key - of course - is to have keen eyes and ears on the ground (which is of course our expertise).
Could this barbed video just be a case of Gallic jealousy about the success of China (and of Nike – i.e. a fabulously successful American company)? I believe China Law Blog may have said something on the subject not so long ago!