Appeal n° 318 (from 5 June to 1 August 2008)

Gold Peak Industries is a highly successful Hong Kong-based multinational which produces cells and batteries for export throughout the world. It has nevertheless been accused of violating basic safety regulations and neglecting its workers’ health. For several years nearly 400 Chinese workers manufacturing batteries were exposed to cadmium, an extremely toxic product, without adequate protection and without being informed of the risks. Despite strong mobilization of former Gold Peak workers, supported by several labour organizations in Hong Kong, Gold Peak still refuses to compensate poisoned workers and to enter into serious negotiations with its employees.

In December 2003, Gold Peak workers at Shenzen and Huizhou learned that they had cadmium poisoning. Cadmium is a highly toxic substance used in the production workshops where they were employed. Manipulating it without protection can cause serious health problems, especially kidney, lung and bone diseases and certain cancers. Despite many complaints by workers, the company refused to pay for them to have medical tests. Eventually it agreed, after a three-day strike. The results of the workers’ blood tests were very worrying: ten had cadmium poisoning and 400 had excessively high cadmium rates. In 2004 Gold Peak tried to buy time, to get rid of the problem. It negotiated promises of compensation in exchange for the workers’ resignation, but finally refused to keep its promises made to contaminated workers and those poisoned during their pregnancy. Several human rights organizations in Hong Kong mobilized. In August 2005, when the company realized that pressure was mounting, it decided to set up a fund to provide financial assistance to workers with cadmium poisoning. However, this fund was totally insufficient, and 244 former workers of the factory denounced the company’s illegal practices and decided to fight for compensation.

Zero degree negotiations

Gold Peak is prepared to go to any lengths to silence the protests within the company and outside. For instance, the medical tests required by law are organized in such humiliating conditions that workers are dissuaded from participating.

In June 2006 three human rights organizations, Globalization Monitor, the Hong Kong Confederation of Trade Unions, and the Neighbourhood and Workers Service Centre were summoned to appear in the Supreme Court of the Hong Kong Special Administrative Region. Gold Peak had sued them for libel on the grounds that they had distributed a post card denouncing the company, to raise public awareness of the problem.

In October 2007 an international solidarity campaign was launched and in France Peuples Solidaires put out an urgent Appeal (1). The many letters received by the CEO of Gold Peak prompted him to answer those who had participated in the campaign. In his letter the firm denied the accusations and claimed to have managed the cadmium "incident" in compliance with Chinese law. On the occasion of International Women’s Day, in March 2007, two former employees with cadmium poisoning, and May Wong, head of Globilization Monitor, were invited to Paris by Peuples Solidaires. There they met three French trade unions (CFDT, CGT and FO) and the International Trade Union Confederation, which undertook to support the campaign against the multinational.

28 April 2007, International Commemoration Day for Dead and Injured Workers, was an important opportunity for Globalization Monitor to raise public consciousness and pursue its solidarity actions, as the problem of cadmium poisoning is still present. Action was launched anew and Hong Kong trade unions are appealing to multinationals to gradually eliminate the use of nickel-cadmium cells and batteries (2).

Demands unchanged

Five workers, probably all already poisoned, recently contracted kidney diseases. One of them has discovered that the Gold Peak management has known about her cadmium poisoning since 2004 and has kept it from her. The demands addressed to Gold Peak are still the same: in particular, the reinstatement of 250 former Gold Peak workers who contracted occupational diseases in the company’s employ. Two former workers who laid charges have already won their cases. One of them was able to start work again in January 2008 but is subjected to discriminatory treatment and given the most arduous jobs.

The other demands concern medical tests. Workers who had themselves retested by an outside laboratory, at their own cost, found that the results differed from those of laboratory chosen by the company. Gold Peak has miraculously managed to reduce the 400 cases of contamination in 2004 to only 210 today! Moreover, since May 2007, when 31 children of workers exposed to cadmium were supposed to be tested, only four have actually had the tests.

Today Gold Peak is still endangering workers’ health by using a sub-contractor in the South of China (Hunan) to manufacture its cadmium cells and batteries. In spite of all the difficulties, mobilization has not weakened and Gold Peak workers are relying on our support.

(1) Appeal n°299 of October 5, 2006 / China : workers poisoned by cadmium _(2) Two leading companies (Toys “R” Us and Mattel) undertook to do so, in February 2008.

FURTHER INFORMATION

Complementary actions by Peuples Solidaires
We have met with CIPA, the firm that distributes Gold Peak products in France. The CEO of this company has promised to transmit our concerns to Gold Peak, especially regarding compensation for contaminated workers, and to demand that the Gold Peak international head-office in Hong Kong account for the company’s actions. Furthermore, during their visit to France (paid by our solidarity fund), the workers had discussions with a French researcher specialized in occupational diseases, who confirmed the dangers of their working conditions.

The Hong Kong Coalition of Trade Unions and NGOs on the Gold Peak cadmium incident
This coalition groups together several organizations, inter alia: Asia Monitor Resource Centre, the World Organization against Torture (OMCT), the Hong Kong Liaison Office for the International Trade Union Movement, the Justice and Peace Commission of the HK Catholic Diocese, Students and Scholars Against Corporate Misbehaviour, China Labour Bulletin, China Labour Action, and Ziteng.

On the Web
The Global Monitor website: http://globalmon.org.hk

TAKE ACTION!

WRITE TO Gold Peak’s CEO

Send an e-mail: http://www.peuples-solidaires.org/rubrique165.html

Send a letter:

PROTEST LETTER

Mr. Victor Lo
Chairman and CEO Gold Peak Industries (Holdings)
Limited Gold Peak Building,
8/F, 30 Kwai Wing Road, Kwai Chung,
New Territories,
Hong Kong
China

Dear Mr. Lo Chung Wing,

I have been informed by Peuples Solidaires of the social conflict between Gold Peak and former employees of the company over cases of cadmium poisoning, and your refusal to provide these workers with decent compensation. I am extremely concerned about your employees’ and former employees’ situation and urge you to:
  immediately provide the affected workers with fair and decent compensation;
  stop threatening workers and apologise for any harassment, injustice and discrimination directed at them;
  undertake genuine negotiations with the workers involved.

Sincerely yours,

LETTER OF SUPPORT

Globalization Monitor
P.O. Box 72797
Kowloon Central Post Office
Hong Kong
China

Dear friends of Globalization Monitor,

I have been informed by Peuples Solidaires of the social conflict between yourselves and Gold Peak, in respect of cadmium poisoning of workers. I support your action and have sent a letter to the CEO of Gold Peak Industries, Mr. Lo Chung Wing, requesting that he take immediate action to implement your demands.

With warm regards, Traduction de la lettre de protestation :

Cher Monsieur Lo Chung Wing,

J’ai été informé(e) par Peuples Solidaires du conflit social qui oppose Gold Peak à d’anciens employés, relatif à l’intoxication au cadmium de certains ouvriers et votre refus subséquent d’indemniser convenablement les travailleurs intoxiqués. Je suis extrêmement préoccupé(e) par la situation de vos employés et anciens employés, et vous exhorte à: - verser des indemnités justes et décentes aux ouvriers intoxiqués immédiatement ;
  mettre un terme aux menaces contre les ouvriers et vous excuser pour le harcèlement, les injustices et les discriminations à leur encontre ;
  engager des négociations sérieuses avec les ouvriers. _ (Salutations)