A Call to Action

China’s new Labor Contract Law will become effective on January 1, 2008. At that time companies will be required to provide a written contract to each employee and to provide a handbook of company policies and procedures developed in consultation with worker representatives.

The new law gives new rights to employees and imposes new responsibilities on employers. There is evidence that some companies are taking evasive action to avoid complying with both the letter and the spirit of the law. This has provoked a great deal of controversy in China.

Last year, as the new law was being drafted, foreign corporations and their business associations took strong exception to some of its provisions. As a result changes were made in later drafts to address corporate concerns. Following passage, foreign corporations and their business associations pledged to support the law and abide by its provisions.

Given the public controversy in China over corporate compliance with the new law, it is time for trade unions, worker rights advocates, and political figures around the world to insist that foreign companies and their suppliers prove compliance with the new law and respect for their employees’ rights under the new law. They should demand that foreign corporations take the following 3 steps to prove compliance:

1. Make public the templates of the contracts that they are offering to their employees.
2. Make public copies of company policies and procedures handbooks with a description of how they were written.
3. Make public any instructions that they have issued to their suppliers and the measures that they plan to take to insure compliance by their suppliers.

Foreign companies and their business associations regularly insist that they are law abiding and committed to promoting strong labor rights and legal standards in China. By making key documents public they can demonstrate that commitment, on paper at least.

The time to act is now in the run-up to the Labor Contract Law’s implementation date on January 1, 2008. How the new labor law is implemented in China should be of concern to everyone who supports labor rights and adherence to the rule of law. Trade unions around the world should demand compliance and transparency from the companies that employ their members, from companies which they hope to organize, and from companies in the industries in which they are active. Non-Governmental Organziations working on labor and human rights issues should demand compliance from the companies and industries that they target. And governments in countries around the world should take steps to insure that multinational companies headquartered in their jurisdictions comply fully with both the letter and spirit of China’s Labor Contract Law.

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[TF]

MORE "HUAHUI" IS FOUND -- concrete action targets

Guandong newspaper report at least two cases on factory requiring workers to sign a new contract. One is a cap factory in Guangzhou Economic and Technology Devlopment Zone called "Global Cap Products Ltd". Another is "Huili", located in Daya Bay, Huizhou. According to the Nanfang Metropolis, the two are HK invested. To those who can read Chinese, please go to these for details:

http://www.nddaily.com/B/html/2007-11/21/content_314553.htm (for the Huizhou factory) and

http://www.nddaily.com/G/html/2007-11/21/content_315110.htm for the Guangzhou factory.

According to database of the HK Trade Development Council, the Huizhou factory may be "Willy International Ltd", (NOTE: NO confirmation yet) headquarters in HK, detailed info as below:

Principal Mr Timmy Kwong
Title/Department Director
Company Address 12/F, Asia Trade Centre, 79 Lei Muk Road, Kwai Chung, New Territories, Hong Kong
Telephone (852) 24928802
Fax (852) 24986858
E-mail [email protected]
Web Site www.willygroup.com
No. of Staff (HK) 35
No. of Staff (China) 1001 - 2000
Year of Establishment 1992
Business Registration No. 16255053-000
Overview Willy's commitment to produce high quality products at the lowest cost and timely delivery to our customers, has allowed the company to grow from a small family size workshop to a leading manufacturer of plastic disposable tabletop and party products in the world. Founded in 1982 in Hong Kong by Louis K M Chung, the Company initially manufactured plastic cutlery for the Australian market. Since then the Company has expanded its made to order sales to over 100 customers in the North & South American, European & Australian markets. Many of the products made for our customers are leading brands in their markets, testifying to the ability of the company to meet the highest international standards. The Company moved to a new plant a Daya Bay, Guangdoing province in southern China in 1997. The plant, which is designed to house all manufacturing processes on the one level, covers over 700,000 square feet and employs more than 1,600 workers. Located less than 30 minutes form the Yantian container terminal port, has regular container vessel departures to international destinations. The Company owns its headquarters office in Hong Kong in Kwai Chung District, near Hong Kong's container terminal port. The 20,000 square feet headquarters has over 70 staff handling : Administration & Finance; Sales & Marketing; Procurement; Customers Service; Shipping.