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Corporate Social Responsibility & Sustainability in China

Corporate Social Responsibility in China

McDonald's China To Set Up 40 Trade Unions In East China

April 19, 2007
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Labor

According to the All-China Federation of Trade Unions, McDonald's China has promised to establish trade union branches in its 40 restaurants in Zhejiang province this year.

An ACFTU spokesman told local media that Zong Hao, central region human resources director with McDonald's China, made the remarks when visiting the Zhejiang Federation of Trade Unions.

The move would boost the development of labor relations, upgrade the fast food giant's social image in China and help it fulfill its social responsibilities, said Chen Dingxin, ZFTU vice chairman. Chen said he hoped McDonald's China would lose no time in fulfilling its promise in accordance with China's regulations on trade unions.

Earlier this month, Kong Xianghong, vice chairman of the Guangdong Trade Unions Federation, said McDonald's had promised to set up trade union branches in the southern Guangdong province before July this year. But a spokesman for McDonald's in Guangdong refused to confirm Kong's claim and would not comment to local media.

McDonald's, KFC and Pizza Hut have been criticized for paying their part-time employees in Guangzhou just RMB4 per hour, up to 40% less than the city's statutory minimum wage of RMB7.5. However subsequent government inspections found no problems with the foreign fast food operations.

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