China Economic Review
Charting China’s changing economic terrain · Since 1990

Wal-Mart China sourcing condemned by labor rights group

November 25, 2009

Wal-Mart’s demand for rock-bottom prices from suppliers in China means some of these companies are forcing their employees to work in sweatshop-like conditions, Reuters reported, citing a report by China Labour Watch. The report said Wal-Mart, which also operates over 250 stores in China, is failing to pick up on such abuses when it carries out audits of certain suppliers, again calling into doubt pledges to source ethically. "As the world’s largest retailer, Wal-Mart leverages its massive product orders to purchase goods at low prices, and workers suffer the financial burden," the New York-based rights group said. Wal-Mart last year said it would enforce stricter quality and environmental standards at its Chinese suppliers. China Labour Watch found that pay was withheld to workers who did not meet production targets in some factories run by Wal-Mart suppliers.

Discover more from China Economic Review

Subscribe now to keep reading and get access to the full archive.

Continue reading