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Microsoft, Wyeth chided for not unionizing

(chinadaily.com.cn)
Updated: 2008-12-25 18:47

A senior Chinese trade union official chided international giants including Microsoft and Wyeth Pharmaceutical for failing to launch trade unions to protect their employees' rights and said some multinationals are adopting double standards in human rights.

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Of the 375 multinational companies that have established regional headquarters in the country, 313 firms have set up labor unions in China, the National Business Daily cited Guo Wencai, an official at the All-China Federation of Trade Unions (ACFTU), as saying.

However, some international giants including Microsoft, Wyeth Pharmaceutical, Morgan Stanley and Japan's Marubeni Corporation have failed to do so, the official said.

"Some (multinational) companies always claim they are respecting human rights and carrying out their corporate social responsibilities (CSR) and have launched trade unions in their home country," said Guo.

"However, in China they are either delaying or even obstructing in every possible way the launch of the trade unions. They are adopting double standards in human rights issues. That is what we will never tolerate."

ACFTU plans to take more determined measures to press those multinational companies to set up labor unions, Guo said, without giving details. The ACFTU earlier said it aims to unionize all the foreign-funded companies in China by the end of next year.

Guo's sharp criticism comes at a time when an increasing number of multinationals are losing respect in China due to a series of scandals and mistakes related to product quality, environmental negligence, commercial bribery, unethical advertising and poor labor relations.

Multinationals introduced the CSR concept to China first but these days some of them are not obeying the rules, which have tarnished their images.

An online survey by Paris-based research firm Ipsos conducted in June and July of 2007 found that more than one third of respondents from key Chinese cities believe domestic companies do a better job in CSR than multinationals.