Chinese unions to increase role at foreign and private companies

The All China Federation of Trade Unions (ACFTU) will try to increase its influence over wage negotiations with private and foreign companies in China, Bloomberg reported, citing state media. Guo Chen, deputy division chief of the ACFTU’s capacity building department told reporters that strikes against Toyota (TM.NYSE, 7203.TYO) plants and suicides at Taiwan-based Foxconn Technology’s (2038.HK, 2354.TPE) Shenzhen factory showed their unions were "not efficient." He said union leaders should be democratically elected to assure better functioning. At the end of last year, 79% of foreign-invested companies in China and 78.5% of private companies in China had union branches. Guo said the ACFTU plans to increase that ratio to 90% by 2012.