Via Global Dispatch's Erin Conway-Smith I'm reminded of a report I've been meaning to link to for some time, but have continuously forgotten to do so - apologies! In May, the African Labour Research Network released a great 400+ page report on the labour conditions maintained by Chinese-operated firms in Africa. The report - "Chinese Investments in Africa: A Labour Perspective" - focuses especially on the cases of Angola, Botswana, Ghana, Malawi, Namibia, Nigeria, South Africa, Zambia and Zimbabwe, among the nations where the Chinese presence is most pronounced, and with which trade is particularly high.
Unfortunately for the Chinese, the findings are not at all favorable towards them. Quite generally, the report finds:
Chinese employers tend to be amongst the lowest paying in Africa when compared with other companies in the same sector. In Zambia, for example, the Chinese copper mine paid its workers 30% less than other copper mines in the country. In general, Chinese companies do not grant African workers any meaningful benefits and in some instances ignore even those that are prescribed by law. Wages above the national average were only found at those Chinese companies with a strong trade union presence. Chinese staff members enjoy significantly higher wages and more benefits than their African counterparts.
Collective bargaining hardly takes place in Chinese companies. They resort to union bashing strategies to discourage their workers from joining a trade union. In many instances, Chinese businesses were supported by host governments who defended Chinese investments against the demands of labour. Trade unions see the practices of Chinese companies as a threat to the limited social protection that unions have achieved over the years through collective bargaining.
In Namibia, for instance, some workers are paid $0.55 an hour by a Chinese company that is building the new Works and Transport Ministry headquarters - about half the legal minimum wage of $1.10 per hour for entry-level construction workers. In many cases workers don't wear safety helmets, as they are often required to pay for their own safety equipment - an investment they can ill afford. At a construction company in Malawi, too, workers had to mix cement with their bare hands. Many labour for 12 hours a day, 7 days a week. The general work day in much of Africa is 8 hours.
Of course it's difficult to expect high standards of working conditions in Chinese firms in Africa when Chinese firms in China don't fare any better. As I noted nearly a year ago, it's quite difficult to expect Chinese employers to improve labour conditions for foreign nationals working in their firms, when they have yet to do so for their own compatriots. For African states, the solution lies in legally regulating working conditions. But as the South African case demonstrates, where in place even such edicts are being circumvented. Thus while Africa stands to benefit from increased Chinese investment as such, it similarly stands to lose if such conditions continue. Change must occur, the lingering question is how.
