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Wal-mart Sign Deals With Three Chinese Trade Unions
from:kenfair 2008-07-30
Wal-Mart, the US retail giant known for fending off organised labour in its home market, has completed collective bargaining agreements with unions in three Chinese cities.
 
Thanks to the All China Federation of Trade Unions (ACFTU), the agreements were reached in less than two years with unions in Shenyang, Quanzhou and Shenzhen, after ACFTU launched a high-profile campaign to organise workers and mark a new chapter in the development of the China′s labour movement.
 
According to a Wal-Mart′s spokesman, the agreement includes an annual December review of salaries and an expected 9 per cent average pay rise for the year 2008/2009 as well as a 1per cent pay rise for those who get promoted. The company also agrees to pay more than the government minimum wage. The agreement also settled requirements on working hours and holidays. More than 48,500 people currently work at 105 Wal-Mart stores across China. All have been unionised over the past two years and their representatives are negotiating collective contracts with management.
 
"Shenyang was the first and Quanzhou was signed," Wal-Mart said. "By law [collective bargaining] is required and we respect the law wherever we operate."
 
Wal-Mart, the world′s largest retailer, for years successfully resisted the ACFTU′s attempts to unionise its China operations. With that battle finally won by the ACFTU two years ago in Quanzhou, the union′s focus is turning to collective bargaining with management as required by a new Labour Contract Law introduced in China this January.
 
Activists view official endorsement of collective bargaining as a step forward in the development of the country′s labour movement. But the government still frowns on strikes and the establishment of unions independent of the ACFTU remains illegal.
 
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