Yue Yuen: wildcat strikes and labor struggles in China

  • May 1, 2014

Capitalism & Crisis

The mass strike at the Yue Yuen factory shows how China’s workers are increasingly relying on autonomous and horizontal structures of labor resistance.

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In China, the Communist Party (CCP) and the All China Federation of Trade Unions (ACFTU) promote and protect workers’ rights. In reality, however, elite interests most often prevail, submerging workers’ rights in the tide of global capitalism. The response has been increasing civil resistance. According to one study, there were 1.171 strikes and labor protests between June 2011 and the end of 2013, and much of April 2014 was marked by one of the largest episodes of resistance in modern Chinese labor history.

On Monday, April 14, 2014, 10.000 workers at the Yue Yuen Dongguan shoe factory took to the streets in protest of the company’s ongoing failure to pay its 70.000 employees their full social security and housing allowance. Worker grievances also included the thousands of fraudulent contracts they had been forced to sign, which prevented their children from enrolling in local schools, forcing them to pay for migrant worker children’s schools. These are common grievances among China’s some 250 million migrant workers.

The strikes, which had been intermittent since April 5, came to their first crescendo that Monday as hundreds of riot police swarmed the crowd. Despite the show of force and minimal arrests, the workers were undaunted, and by the following week the demonstrators numbered around 40.000. Government censors instructed domestic media to delete content related to the incident.

The strike at Yue Yuen, the largest sports shoe manufacturer in the world, supplying Adidas, Nike, Puma, Crocs and others, was supported by labor rights organizations, such as the Shenzhen-based Chunfeng Labor Justice Service Department. Meanwhile, union presence was minuscule. That substantive union support was conspicuously absent in one of the largest labor rights demonstrations in modern China is telling.

China Labour Bulletin, a Hong Kong rights organization, quoted one striking worker: “I personally have not seen any union staff, although I heard that they have issued a comment, which no one gives damn about… They are now giving us instructions, but where the hell were they when the company violated our rights?! I have worked at Yue Yuen for almost two decades, and I don’t even know who our union president is.”

The ACFTU is the largest trade union in the world, with around 239 million members according to 2010 figures. However, the legitimacy of the ACFTU as a representative of workers’ rights has been tarnished by perennial subordination to the interests of the CCP. There is a regulation that party officials must approve all union chairs and the CCP’s position on labor rights is clear.

On March 27, 2001, when it ratified the International Covenant on Economic, Social and Cultural Rights (ICESCR), China issued a reservation to Article 8.1(a), the right to form and freely join trade unions, that its application must be consistent with the Chinese Constitution and other domestic laws. The word union does not appear in the Chinese Constitution. Furthermore, China has continually failed to ratify fundamental International Labor Organization (ILO) conventions CO87, The Freedom of Association and Protection of the Right to Organize and CO98, The Right to Organize and Collective Bargaining.

For these reasons China’s workers have increasingly been relying on autonomous structures of labor resistance organized horizontally within or between small groups of factories with support from independent labor rights organizations and third parties. Students in the nearby city of Guangzhou, for example, left posters outside of Nike stores in solidarity with the striking workers.

After several weeks of demonstrations, a spokesperson for the Ministry of Labor and Social Security acknowledged that Yue Yuen had been underpaying its workers and noted that the department had ordered the factory to comply.

Still, we must not forget that China is increasingly outsourcing cheap labor to countries such as Vietnam and Bangladesh. While victories for individual factories are milestones in the Chinese labor movement, until the engines of global capitalism come to a halt the same exploitive practices will continue in their voracious race to the bottom.

After all, following the initial outbreak of demonstrations at Yue Yuen, Adidas moved a bulk of its orders to other suppliers. This move earned the company criticism from the International Union League for Brand Responsibility, which, as a reminder that the struggle for workers’ rights is universal, responded by organizing solidarity protests at Adidas and Nike stores from Hong Kong to Istanbul and Los Angeles.

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Michael Caster

Michael Caster is an independent researcher, writer and activist, specializing in Asia. Follow him on Twitter @michaelcaster.

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