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What is the responsibility of American companies and consumers for unsafe working conditions in Chinese factories?

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Recent U.S. media reports about unsafe working conditions in Chinese factories, along with the troubles reported about the safety of food and toy imports from China are bringing to the forefront the economic problems that the Chinese people have long been facing. These problems have prompted United States leaders, to put pressure on the current administration to push for changes in the Chinese governments' labor policies and currency exchange rates.

In 2007 the National People's Congress of the People's Republic of China (NPC) promulgated the Labor Contract Law (LCL). The LCL made many significant changes to workplace practices in China, but experts still say that changes in the policies of China's government should still be one of the key issues to be reviewed by the 2008 United States President-elect.

Due to the historical involvement of the United States in Chinese government and policies, it can also be argued that working conditions in China are directly the result of the United States government's prior involvement in the politics and economics of China.

Early Socialist Chinese Labor Relations

In the early 1900's China sought help from the United States in order to bring about federalism and American-inspired ideals. For various political reasons, the United States ignored the Chinese governments request for aide. In 1921, the Chinese government turned to the Soviet Union which brought about communism in China.

Government-controlled work units, known as a danwei, were formed. The danweiacted as the first step of a multi-tiered hierarchy linking each worker with the central communist party infrastructure. The danwei was the principal method of implementing party policy. Through the danwei, the Chinese government set wages and benefits, to include retirement policies, work hours and working conditions. In addition, the danwei also created and controlled housing, child care, schools, clinics, shops, services, post offices, and medical care for the workers. In order to get a new job, you had to get permission from your prior danwei. If you needed housing, the danwei allocated space and if you were sick, you went to the danwei clinic or a health care facility sponsored by the danwei.

The influence of a work unit on the life of an individual was substantial. Permission had to be obtained from the work units before undertaking everyday events such as marriage, travel, and even having children.

Disputes were settled through state edicts to the danwei's managers from


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What is the responsibility of American companies and consumers for unsafe working conditions in Chinese factories?

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