Description

From CLB:

Over 200 workers. Claims for monetary compensation and payment of social security contributions after plant shutdown. Roadblock, representatives go to city government with petition. Police intercept representatives, outcome unclear.

Huangxing had previously been accused of abuses. See Business & Human Rights Resource Centre:

The report by the Hong Kong-based Students and Scholars Against Corporate Misbehavior, or SACOM, investigated the Huangxing light manufacturing and Qisheng candle factories [also known as Chai Seng Candle Factory] in Shenzhen and the Jianlong toy factory [also known as Kamlong Industrial] in Zhuhai, all located near Hong Kong...The survey, based on interviews with workers, said all three factories pay below the minimum wage...The report said workers at the three factories worked overtime ranging from 60 to 136 hours per month, in violation of Chinese law, which only allows 36 hours of monthly overtime...The Huangxing factory's telephone number wasn't listed. Men who answered the phone at the Qisheng [Chai Seng] and Jianlong [Kamlong] factories said no one was available for comment...In a statement, The Walt Disney Co. (Asia Pacific) Ltd. didn't address the allegations in detail. "When factory audits, or information otherwise brought to us by third parties, reveal noncompliance with our (labor standards) code, we seek to work with the factory and, if appropriate, the vendor or licensee concerned to develop a remediation plan to bring its operations into compliance with our code," the statement said...At the Qisheng [Chai Seng] factory, workers allegedly were paid late, receiving their pay for March this year on May 10. Jianlong [Kamlong] factory reportedly banned ill workers from taking sick leave when they had to rush to fill orders...The survey alleged that the Jianlong [Kamlong] factory only bought medical or accident insurance for some employees for show when there was an audit...

From SACOM:

After disclosing Huang Xing’s offense by SACOM, the factory has rumors that the factory would shut down due to the suspending orders by Disney since October last year. The order fell rapidly in the period. A number of workers were pushed to resign as the workers were underemployed and the salary became not enough for survival. There were remaining about 800 workers only until the factory shut down in January. From December last year, SACOM and several other NGOs have sent letters to Disney asking for explanation. We have not received any clear reply. A person having meeting with Disney states that the Person-in-charge of Disney admitted the order from Disney attributed to 80% of the total orders of Huang Xing, but Disney still refuse to deal with the issue of suspending order. At 5:00pm, 31st January this year, the factory suddenly put on a notice to declare the suspension of the factory and to demand all the workers to leave their workers dormitory on the next day. For compensation, the proposal suggested by the factory was seriously lower than the statutory standard. Workers with more than two working years can get 2400 RMB. Those with lower than two working years could get only 100 RMB for each working month, maximum 2400 RMB. The factory pushed the workers to sign a protocol in one week, in which the workers accept the amount of compensation and they could not demand any further compensation. Due to the sudden shutdown and unreasonable compensation scheme of the factory, the angry workers besieged the factory voluntarily and blocked the highway between Shenzhen and Shantao, while the factory refused to make any concession.

On 6th of February, when SACOM and other social organizations went to the office of Hong Kong Disneyland, raising our concern on Disney’s responsibility for its cut and run misbehavior as a cause for the shutting down of Huang Xing, Disney just denial its production relation with Huang Xing and claim that it only devoted the franchise to a Japanese company whereas it does not know anything about Huang Xing. Instead of taking a positive role to improve the situation, Disney continues its lies to the public, ‘Disney protects labour rights and makes sure that it will not be harmed’.