[PEN-L:9456] McDonalds/HK Toy Company in Vietnam Continues Violations of (fwd)

[D Shniad <shniad@xxxxxx>]

> Date: Fri, 11 Apr 1997 17:55:34 +0800 (HKT)
> From: AMRC <amrc@xxxxxxxxxxxx>
> Subject: McDonalds/HK Toy Company in Vietnam Continues Violations of
>          Workers' Rights
>
> Update on Keyhinge Toys Case - April 11, 1997
>
> HONG KONG-OWNED COMPANY PRODUCING TOYS FOR McDONALD'S COMMITS SERIOUS HEALTH
> AND SAFETY VIOLATIONS AND UNFAIR LABOUR PRACTICES IN VIETNAM
>
> A Hong Kong-owned toy factory in Da Nang, Vietnam, producing giveaway toys
> for McDonald's (including "101 Dalmatians") continues to seriously violate
> workers' rights.
>
> Keyhinge Toys (Vietnam) Co. is located in Lien Chieu district in Da Nang
> City, in central Vietnam. It was set up by Keyhinge Industrial Co. of Hong
> Kong in March 1996 with capital of US$14 million and received a 25 year
> licence from the Vietnamese Government.
>
> Over 90% of the workers are young women, with an average age of 17-20 years
> old and work 9-10 hours per day, seven days per week. Less than a year after
> starting production, over 700 of the 1872 workers have quit because of poor
> working conditions, poor health, low wages, and ongoing labour rights
> violations.
>
> 1. Acetone chemical poisoning: On February 21, 220 workers at Keyhinge Toys
> (Vietnam) Co., a 100% Hong Kong-owned toy factory, became seriously ill and
> were forced to stop work as a result of acetone poisoning and overwork. 25
> workers collapsed and 3 were admitted to hospital for emergency medical
> treatment after falling unconscious. Workers were exposed to high amounts of
> acetone pollution in the air. In particular, the workers employed in the
> paint section of the toy factory are exposed to extremely high levels of
> acetone. Prolonged exposure to acetone affects the blood, and causes
> irritation to the nose, throat, lungs and eyes, headaches, dizziness and
> nausea, unconsciousness, and damage to the skin in the mouth. It also
> affects the menstrual cycle of women workers.
>
> The workers affected by acetone poisoning received no compensation and it
> was found that the company had failed to provide medical insurance as
> required by law.
>
> In response to the incident, the Centre for Labour Protection (occupational
> safety and health) in Da Nang offered to assist Keyhinge Toys in designing
> and installing an appropriate ventilation system to reduce the level of
> acetone air pollution in the factory. The management refused to cooperate
> with the Centre for Labour Protection. The Centre for Labour Protection made
> a second offer to work together to safeguard the health of workers, but the
> Hong Kong director, Yun Pun Cheng, again refused. As a result the workers
> continue to be exposed to a dangerously high concentration of acetone in the
> air in the factory.
>
> 2. Unfair Dismissal: The second incident occurred on February 22 when 200
> workers were illegally dismissed. As workers were entering the factory in
> the morning, some 200 workers had their passes taken away and were denied
> entry. On February 23 an inspection team of officials from the trade union
> and the Department of Labour, War Invalids and Social Welfare was sent to Da
> Nang where they instructed the management to reinstate the dismissed
> workers. The deputy director of Keyhinge Toys, Chen Wei Qing, agreed that
> the workers could resume work on March 6. The inspection team found that
> Keyhinge had violated the labour law and ordered that wages be paid for the
> period in which the workers had been illegally dismissed.
>
> On February 24 the management allowed 150 workers back to work and promised
> that the other 50 could start work again on March 6. (It is still not
> confirmed whether all workers were re- instated.)
>
> 3. Wages: It was recently reported in Lao Dong (Labour) that workers are
> earning as little as 1000 dong (US$0.08) per hour. However, interviews with
> workers have revealed that many are only paid the apprenticeship salary of
> 200 000 dong per month, or 700 dong (US$0.06) per hour, even after their
> three month probation has ended. This is less than the legal minimum wage
> and violates labour regulations on apprenticeships. In a further violation
> of labour laws, the management failed to provide the workers with employment
> contracts.
>
> Labour rights organisations are demanding that the following measures be
> taken to bring an end to these serious violations of workers' rights:
>
> 1. That the management of Keyhinge Toys cooperate with the Centre for Labour
> Protection in Da Nang City to install an appropriate ventilation system and
> reduce the levels of acetone in the workplace to meet international
> standards. The Centre must be permitted to monitor the improvement in the
> working environment by entering the factory and undertaking tests of toxic
> gases and dust.
>
> 2. That Keyhinge Toys complies with the Labour Code and labour regulations
> of Vietnam, permitting workers to form a trade union, sign labour contracts
> and collective bargaining agreements, pay wages above the legal minimum, and
> for the company to pay medical and social insurance in compliance with legal
> regulations.
>
> 3. That McDonald's take responsibility for the labour practices of its
> subcontractor and the conditions under which its giveaway toys are made.
>
> For more information contact: The Coalition for the Safe Production of Toys,
> Hong Kong
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>