Fujitsu Siemens Computers does not take responsibility for labor rights violations in their supply chain in China

April 1, 2009*

press_release_april_1_2009_sacom_weed

SACOM and WEED: Fujitsu Siemens Computers does not take responsibility for

labor rights violations in their supply chain in China

Taiwanese-invested Compeq Manufacturing Co., Ltd. has been communicating

closely with SACOM and WEED following the release of /The Dark Side of

Cyberspace Report /in December 2008. The report uncovers serious

violation of workers rights such as excessive overtime hours, payment

below the legal minimum wage and an authoritarian system of labor

control. On March 24, 2009, top-level management from Compeq, Compal

Electronics, Dell and SACOM met to share good practices of worker

representation and sustainable production. Hit hard by the global

financial crisis, Compeq laid off some of its workforce at its Huizhou

facility in the short-term but quickly managed to recruit new workers in

early 2009. SACOM was impressed by these stakeholders’ strong commitment

to continuously improving labor and environmental standards in the

electronics industry.

In contrast to these companies’ responsible behavior, Hong Kong-owned

*PC Partner and Excelsior Electronics *(Dongguan) has refused to share

information about their workplace conditions for the full three months

since they received the report. In correspondence with SACOM and WEED,

Alex Wong, Chief Human Resource & Administration Officer at Excelsior,

stated that he did not “agree with most of the allegations” in the

report. However, he failed to provide the concerned public with any

evidence that could show the report to be mistaken.

Worse yet, *Fujitsu Siemens Computers (FSC)* *– *while awarding

Excelsior a preferred Chinese supplier in 2007 *– *positions itself as

merely “an observer” in this serious case of worker exploitation. Behind

the facade of the FSC code of conduct, there seems no real effort on

FSC’s part to collaborate with Excelsior to take concrete corrective

actions. “We cannot accept Fujitsu Siemens Computers’ defining itself as

an “observer,” which amounts to denying its responsibility for its

supply chain. That forced us to cancel the April 2 meeting with FSC and

Excelsior,” explained Jenny Chan (SACOM).

Communication with FSC was very difficult as its corporate social

responsibility (CSR) manager was laid off soon after the announcement of

Fujitsu’s acquisition of FSC in November 2008. In an email to SACOM on

March 25, 2009, FSC said that “there is no person-in-charge for CSR

issues in China.”

Effective on April 1, 2009, the German-Japanese joint-venture company

FSC will be solely owned by Fujitsu. Sarah Bormann of WEED calls on

Fujitsu to “commit to workers’ rights and welfare at the Excelsior

facility *– *its tier-one supplier *– *in southern China.”

CONTACT PERSONS:

*Jenny Chan, Students & Scholars Against Corporate Misbehavior (SACOM),

*Hong Kong/China,* *

wlchan@sacom.hk <mailto:wlchan@sacom.hk>, Telephone: (852) 2392 5464,

Fax: (852) 2392 5463

*Sarah Bormann, World Economy, Ecology & Development (WEED),*

Berlin/Germany,

sarah.bormann@weed-online.org <mailto:sarah.bormann@weed-online.org>,

Mobile: 0049-160-96654332

The report /The Dark Side of Cyberspace/ is downloadable from

www.sacom.hk <http://www.sacom.hk/> and www.pcglobal.org

<http://www.pcglobal.org/>.