08-18-2006, 07:19 PM
As some of you know I just returned from a recent trip to Hong, Kong, Bejing and Northwest China. I learned a few things from some U.S. diplomats dealing with US/China economic issues and they gave me a few insights that may broaden your understanding of China's labor market and how it pertains to the ipod.
China has had the largest migration to cities in the past 20 years. It is estimated that 150 million farmers have moved to cities to try and escape poverty.
To combat this, China issues you an identity card that lists your province of birth. If you move outside this province you lose your medical and many legal rights.
The Tibetans are treated as a "special minority" group and are not subject to work and travel migration restrictions. You see them in the cities selling jewelry on yellow blankets. They will mostly travel in summer months and then go back to Tibet.
If a family in China makes $800 a year US$ then you are doing ok. Somewhat Decent place to live but most likely little heat in winter, no air conditioning. You will have enough for 2 meals a day and no car. If you have heat for a day or access to a shower then it is a good day. The growing middle class you hear about is such a tiny fraction compared to how most city dwellers in China live. Yes there are nice places but it is not the norm.
So these people living in the dorms you have heard about are most likely migrants from the rural areas. As with most farming families they live off one cow and one sow and chickens and their offspring. Dirt floors and brick dwellings on a small plot of land and no running water. So while dorms at the factory are not that great, it probably beats sleeping on a make shift bed on the farm. Construction workers will sleep on site and in the building they are working on. There is no OSHA and deaths and any labor rule can be circumvented with a bribe. There are no environmental considerations and waste can be dumped anywhere. Again, a bribe can get rid of any problem. Work on the high rise buildings involves 12-16 hour days. If you get fired before the project is done for speaking up then you don't get paid.
As for pay, the investigation shows the workers are being paid at the ipod factory. This is why the ID card is crucial for migrants. Many migrants often will work in factories or construction and have their pay be "pay when done". Most likely these workers will get paid nothing or a fraction of what they were told. Because they are migrants from outside their province, they have no legal recourse. While Apple may have taken heat for their factory, it pales in comparison what is allowed to go on at factories where a company has no code of conduct for the management running things. These factory owners are actually within their legal rights not to pay anyone that is not from that province.
Now I am not saying I am completely fine with what is going on because there is always room for improvement. Due to the world's need for low low prices we are condoning this with our wallets. It's not going to change because China has a billion people with an endless pool of cheap labor. We can encourage companies we like to buy from to be diligent about monitoring their overseas supply manufacturing contractors.
China has had the largest migration to cities in the past 20 years. It is estimated that 150 million farmers have moved to cities to try and escape poverty.
To combat this, China issues you an identity card that lists your province of birth. If you move outside this province you lose your medical and many legal rights.
The Tibetans are treated as a "special minority" group and are not subject to work and travel migration restrictions. You see them in the cities selling jewelry on yellow blankets. They will mostly travel in summer months and then go back to Tibet.
If a family in China makes $800 a year US$ then you are doing ok. Somewhat Decent place to live but most likely little heat in winter, no air conditioning. You will have enough for 2 meals a day and no car. If you have heat for a day or access to a shower then it is a good day. The growing middle class you hear about is such a tiny fraction compared to how most city dwellers in China live. Yes there are nice places but it is not the norm.
So these people living in the dorms you have heard about are most likely migrants from the rural areas. As with most farming families they live off one cow and one sow and chickens and their offspring. Dirt floors and brick dwellings on a small plot of land and no running water. So while dorms at the factory are not that great, it probably beats sleeping on a make shift bed on the farm. Construction workers will sleep on site and in the building they are working on. There is no OSHA and deaths and any labor rule can be circumvented with a bribe. There are no environmental considerations and waste can be dumped anywhere. Again, a bribe can get rid of any problem. Work on the high rise buildings involves 12-16 hour days. If you get fired before the project is done for speaking up then you don't get paid.
As for pay, the investigation shows the workers are being paid at the ipod factory. This is why the ID card is crucial for migrants. Many migrants often will work in factories or construction and have their pay be "pay when done". Most likely these workers will get paid nothing or a fraction of what they were told. Because they are migrants from outside their province, they have no legal recourse. While Apple may have taken heat for their factory, it pales in comparison what is allowed to go on at factories where a company has no code of conduct for the management running things. These factory owners are actually within their legal rights not to pay anyone that is not from that province.
Now I am not saying I am completely fine with what is going on because there is always room for improvement. Due to the world's need for low low prices we are condoning this with our wallets. It's not going to change because China has a billion people with an endless pool of cheap labor. We can encourage companies we like to buy from to be diligent about monitoring their overseas supply manufacturing contractors.
