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Chinese Overseas Garment Orders Lose Large

2014/3/3 19:20:00 25

Overseas GarmentsLoss

according to Hong Kong The website of South China Morning Post reported that this is not only because of cheaper labor force, but also because of the escalating labor relations in mainland China. In some cases, the failure of the manufacturer to fulfill corporate social responsibility has become a problem.


Goran Larsen, former chairman of the Swedish Textile Importers Association, said that about 45% of the world's second largest clothing retailers and Swedish clothing companies H&M imported from Bangladesh and the proportion of imports from Kampuchea is also rising.


Larsen said that although cost is considered to be the main reason for shifting from China to other Asian countries, there is little relationship between steering and cost.


"In a simple garment manufacturing industry, the direct labor cost is less than 10% of the FOB price," he said.


Larson has been a buyer for 20 years in China. "In Bangladesh today, we can buy products that are better than China, and they are produced under higher ethical standards," he said.


Larson criticized China's piecework system and the elusive migration of migrant workers, resulting in unstable product quality and low standard corporate social responsibility.


According to the report, the wages of workers in the mainland, especially in the textile and garment industry, depend largely on the number of products they complete. Yan Baoling, vice president and general manager of Feida hat industry in Shenzhen, Panyu and Bangladesh, said that in Bangladesh and other Asian countries, workers receive a monthly salary.


In order to earn more money, the mainland workers will work overtime, which is usually a violation. labour law .


In the highest working hours, China has the most stringent laws in the region. According to the regulations, overtime work per month can not exceed 36 hours, and the working hours are calculated on a Friday working day. The upper limit of Bangladesh is 50 hours per month, and the working hours are calculated on a Saturday working day.


Yan Baoling said that some Chinese factories do not pay overtime wages in full, and their workers do not have adequate insurance coverage.


She said: "so their operating costs can be about 35% lower than our compliance rules."


Yan Baoling pointed out that large multinational customers led to Jerry building. She said the prices normally demanded by these customers were lower than the production costs of the law-abiding factories.


"Lower labour costs in Bangladesh and Kampuchea allow manufacturers to have more room for workers to provide more benefits," she said.


For example, Yan Baoling set up a charity fund for her 1500 workers and their communities in Bangladesh. She organized a picnic for all the workers and chose bedroom decorations for the local manager's dormitory in Hongkong freely.


Yan Baoling, who has enjoyed close labour relations in Bangladesh, has found that her relationship with some mainland workers has gone bad.


When she tried to shift more than 100 workers in the Panyu factory to another factory nearby, because the Panyu factory was too large for the current production scale, she was shocked. The total severance payment required by these workers amounted to 2 million yuan (about HK $2 million 530 thousand).


Yan Baoling said, "this is unreasonable. I didn't fire them. I just want to transfer them to another factory and drive 10 minutes away. "


The workers complained to the Labour Bureau.


   Yan Bao Ling She said that she would expand the factory in Bangladesh to increase the total number of workers to more than 4000, while gradually reducing the scale of production lines in Shenzhen.

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