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The grim truth of Chinese factories producing thewest’s Christmas toys

Undercover investigation by China LaborWatch exposes low wages, hazardous 
chemicals and overtime beyond legal limits

Gethin Chamberlain

Sun4 Dec 201600.05 GMTLast modified on Sat 2 Dec 201717.54 GMT

    
 

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 Xiao Fang thinks she’s one of the luckier workersmaking Barbie dolls for the 
Christmas market at the Mattel toy factory inChang’an.

True, she says, she works 11-hour days, six days aweek, and shares a dormitory 
with nine other women and gets to see her husbandonly once a week. She had to 
leave her three-year-old daughter back home inSichuan. And there is only a 
communal bathroom, and if they want hot water theymust fetch it from another 
floor. But at least she has a job, she says. Andothers have it worse.

Xiao isone of thousands of workers in Chinese factories making some of this 
year’smust-have Christmas toys.

Aninvestigation with the US-based NGO China Labor Watch reveals that toys 
including Barbie,Thomas the Tank Engine and Hot Wheels were made by staff 
earning as little as86p an hour.

Overtime can run to nearly threetimes the legal limit. In some factories – 
including one producing Happy Mealtoys for McDonald’s from the new DreamWorks 
movie Trolls – that means some are on 12-hourshifts and have to work with 
hazardous chemicals.

Accordingto China LaborWatch, the world of toys may be heaven for children, but 
it is a world ofmisery for toy factory workers

The group’s founder and executivedirector, Li Qiang, said: “We can’t tolerate 
that children’s dreams are basedon workers’ nightmares, and we must fight 
against the unfair oppression ofworkers who manufacture toys.”

Undercoverinvestigators infiltrated four factories, and the group shared wage 
slips andpictures with the Observer to support their findings.

Theinvestigators said that they found workers making toys in factories 
supplyingDisney, Mattel, Fisher-Price and McDonald’s who reported having to do 
more than100 hours of overtime a month – nearly three times the legal limit in 
China.

But thetoy industry’s own watchdog, the ICTI Care Foundation, says it is 
powerless tostop many Chinese factories breaking the law on overtime.

“Thereality is, across the board, most factories, or the vast majority at 
least,work way beyond legal limits in China, and legal limits are almost 
universallyignored,” said Mark Robertson, ICTI Care’s director of 
communications. “Ourposition is, we want transparency. We want to know how many 
hours are worked inthe factories, so we can make sure workers are paid for 
every minute that theywork.”

Some of this year’s must-havebrands were made in the factories visited by the 
undercover team. At the FoshanNanhai Diecast Company factory the basic salary 
for workers was just 86p anhour. Toys photographedinside the factory included 
Thomas the Tank Engine Minis and Hot WheelsGuardians of the Galaxy, as well as 
the Cars Piston Cup racing garage and theFisher-Price Learn with Me Zebra 
Walker. Fisher-Price is owned by Mattel.

Workingall available overtime and with all allowances and deductions applied, a 
workertakes home far less than the average wage in Chinese cities of £715 a 
month.

Anundercover investigator who joined the company as a worker described having 
towork with isoamyl acetate – commonly know as banana oil – which can soften 
anddissolve plastics. The investigator worked on a production line and came 
intodirect contact with the substance, reporting that some workers had 
complainedto management about the strong odour.

Staff alsoclaimed that the company offered prizes for the three most productive 
workersevery day. The prize was a pack of paper towels.

At theChang’an Toy factory, investigators photographed toys from Mattel’s 
MonsterHigh range of dolls and spoke to workers who said that they made the 
company’sBarbie dolls. A large pink Barbie banner hangs on the outside of the 
building.

Thefactory employs about 4,200 people, and workers again claimed they worked 
morethan 100 hours a month overtime at peak periods, starting on a base wage 
of£1.08 an hour. The basic monthly wage was £188 and the maximum take-home 
payafter overtime, allowances and deductions was £337.

The investigators said that the average workingweek was 68.3 hours. Chinese 
labour law allows a maximum of only 36 overtimehours a month. A worker 
averaging 68.3 hours a week would be working an average88 hours of overtime a 
month – but workers claimed the figure was higher duringpeak production periods 
over the summer.

At theCombine Will factory in Dongguang, which employs about 2,700 
people,investigators photographed toys being manufactured for McDonald’s Happy 
Meals,including Hello Kitty toys and Trolls pencil toppers based on 
charactersfrom the DreamWorks film.

Theinvestigators interviewed workers in the cutting section, who said 
theysometimes clocked up 100 hours of overtime a month. They also found that 
theinside of the building could get as hot as 31C. Wages started at £1.08 an 
hourand some workers say they were expected to work with banana oil and 
isopropylalcohol, which can cause dizziness and even death in high 
concentrations. Thebasic wage for a five-day week was £189 a month, with the 
upper limit oftake-home pay about £337. However, some workers on piece rate 
were able to earnas much as £482 a month.

In theShenzhen Wei Lee Fung Plastic Products Co factory, investigators 
photographedFisher-Price Imaginext DC Super Friends toys – including Batman – 
along withDisney Princess dolls and toys from the Fisher-Price Little People 
range.

The factory employs about 2,000 workers, whoreported that they started on a 
basic wage of £1.16 an hour and claimed theywere expected to work more than 100 
hours of overtime.

Aninvestigator joining the company undercover was required to sign a 
statementpromising to accept any punishment handed out.

ChinaLabor Watch’s Li Qiang accused the toy companies of exploiting Chinese 
workers.He said: “Workers in toy factories face heavy workloads every day, but 
onlyearn an extremely low wage. They have children as well.

“Those whoearn high profits from toys have done so by oppressing the interests 
ofworkers, and as such their negligence should be subject to public and 
moralcondemnation.”

Aspokesman for McDonald’s said: “As purchasers of toys from Combine Will, 
wetake these allegations very seriously. We are committed to ensuring fair 
andethical workplace standards in every corner of our supply chain.

“We areworking closely with ICTI Care in its investigation as well as 
overseeing athorough review of these allegations, and will swiftly and 
effectively addressany issues that are identified.”

A Mattelspokesman said: “Mattel is committed to ensuring every single person 
making ourtoys and products is treated fairly, with respect and is able to work 
in a safeand healthy environment. Our labour standards, environmental, health 
and safetyprogrammes and oversight processes reflect this commitment, and we 
stand behindour record of ethical labour practices and environmental 
stewardship.

“We aredevoted to ensuring that our manufacturing facilities throughout the 
world aresafe and ethical places to work, and we reject any suggestion to the 
contrary.”

Disneyreferred requests for comment to ICTI Care. Its director, Mark Robertson, 
saidthe organisation took the accusations “extremely seriously” and promised 
a“robust investigation”. He said standards in the industry were improving 
andthe wellbeing of factory workers was the “core priority”.

The ToyRetailers Association said it would work with the industry to tackle the 
issuesraised by the investigation. A spokesman said: “The Toy Retailers 
Associationviews the China Labor Watch report with concern, which we know is 
sharedthroughout the industry.

“Ourmembers are conscientious retailers who abide by a code of ethics with 
regardto where and how they purchase toys, which includes compliance with all 
UK,European and wider standards.”

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