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China Labor Watch's report on Samsung factories in China

China Labor Watch's report on Samsung factories in China

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Published by IDG News Service
China Labor Watch's report on its investigation of Samsung factories and suppliers in China.
China Labor Watch's report on its investigation of Samsung factories and suppliers in China.

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Published by: IDG News Service on Sep 04, 2012
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03/05/2013

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 An Investigation of Samsung’s Factories in China:
Is Samsung Infringing Upon
 Apple’s Patent on
Bullying Workers?
August 30, 2012China Labor Watch
 
 
Content
I.Introduction
………………………………………………………
..II.16 major sets of labor mistreatment
………………………………
.III.Supplier factories are the worst violators
…………………………
 IV.Samsung can and must improve labor conditions
……………
..Shenzhen Samsung Kejian Mobile Telecommunication
………
..Huizhou Samsung Electronics
…………………………………
.. Tianjin Samsung Electronics
……………………………………
.. Tianjin Samsung Mobile Display 
…………………………………
 Shandong Samsung Digital Printer
………………………………
 Suzhou Samsung Electronics
……………………………………
  Tianjin Intops
………………………………………………
. Tianjin Chaarmtech (Crucial) Electronics
……………………
 
 
I.
 
Introduction
In June 2012, China Labor Watch (CLW) published an investigative report on ten supplier
factories for Apple. Soon afterwards, CLW begin carrying out investigations of Samsung’s
network of factories.Samsung Electronics, headquartered out of South Korea, is a world leader in electronicsmanufacturing and sales. In 2011, Samsung enjoyed profits of over $12 billion and wasranked as the 22
nd
largest corporation in the world by CNN. Naturally, the treatment of this
corporation’s manufacturing workers serves
as a model for other businesses in the industry.However, new investigations by CLW 
have revealed that the treatment of Samsung’s
Chinese factory workers is far from model. Indeed, the list of legal and inhumane violationsis long, including but not limited to well over 100 hours of forced overtime work per month,unpaid work, standing for 11 to 12 hours while working, underage workers, severe age andgender discrimination, abuse of student and labor dispatch workers, a lack of worker safety,and verbal and physical abuse. Moreover, workers lack of any effective internal grievancechannel by which to rectify these transgressions.Samsung has a network of 12 factories that it directly owns and operates in China. Inaddition, it has countless contracted factories which it does not operate but which are partof Samsung's supply chain, including the HEG Electronics factory, which was exposed by CLW on August 12 for child labor abuse. From May to July 2012, CLW conducted aninvestigation of 8 factories, including 6 directly-operated by Samsung and 2 Samsung supplier factories.Directly-operated factories and supplier factories differ in some important ways.Samsung has majority ownership of its directly-operated factories, these factories only work for Samsung, and all of their processing fees and expenditures are all assumed by Samsung.But supplier factories only manufacture or process products for Samsung. All expendituresare the responsibility of the factory itself, and they gain profit on the price of their producedgoods. These 8 factories include:
 
 
Shenzhen Samsung Kejian Mobile Telecommunication Technology Co., Ltd(SSKMT),
with about 500 workers, is 60% owned by Samsung and primarily 
produces Samsung’s CDMA cell phones;
 
 
Huizhou Samsung Electronics Co., Ltd (SEHZ)
, with about 10000 workers, is99% owned by Samsung and primarily produces MP3/MP4 players, MINI combinedspeakers and receivers, and DVD home theaters;

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