Being too involved may jeopardise PRC factory employees

June 18, 2010 | BY

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After a number of suicide attempts at an international technology company in China, PRC labour lawyers are advising multinational companies to place greater…

After a number of suicide attempts at an international technology company in China, PRC labour lawyers are advising multinational companies to place greater focus on its business and production, instead of extending its management regime to the personal and social lives of employees.

As of May 27 2010, the total of suicide attempts by workers at Shenzhen-based Foxconn Technology rose to 13 when a 25-year-old man tried to slash his wrist in a company dormitory. The man survived after medical treatment.

“The root of the problem is that Foxconn operates a factory with facilities that incorporate all social and life activities for employees,” said George Lu, the director of labour and employment boutique Shanghai HR&L Law Firm. “This shuts down their access to the external world and stunts ego development.”

The sensational rash of suicides this year at Foxconn – 10 killed themselves by leaping off a building – has sounded the alarm on foreign companies that operate manufacturing plants in the PRC. Many of these giant factories are included within industrial compounds that provide housing and all-round facilities for the workers. Life and work of these hundreds of thousands of workers are limited to the complexes.

“Companies could control the staff size of each production unit and the continuing working hours of employees. Corporate management can not substitute for social functions,” said Lu.

Another senior lawyer at Shanghai HR&L, Meachell Mu noted that many of the employees were born in the 1980s and 1990s, and have stronger personalities and self-awareness. Due to this evolution in mentality of the Chinese worker, Mu emphasised the importance of more humane and personalised labour management from companies.

Foxconn chairman Terry Guo was quoted by China Daily as saying that though he was not confident all suicides could be stopped, he would try to prevent them. He said that safety nets had been installed around the dormitories to prevent workers from jumping, and assured the company would raise employee salaries, allot more funding to its hospitals and provide psychiatrists for counselling.

Foxconn Technology is an electronic products maker and supplier for a number of industry giants such as Apple, Sony, Nokia, Dell and Hewlett-Packard.

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