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Samsung suspends operations with Chinese supplier

Samsung have responded quickly to recent accusations of its suppliers

Samsung Electronics, the flagship subsidiary of the South Korean-based multinational group, has suspended ties with its Chinese supplier upon claims of employing underage workers.

The world’s largest technology company by sales vowed to cease all business with the firm if the reports were proven to be accurate.

In its investigative report published last week the worker’s rights group, China Labor Watch, has accused a Shinyang Electronics owned factory in Dongguan, Southern China of breaking the law and says it discovered five underage girls were being employed there.

A statement on its official blog, Samsung said: “The decision was made (to suspend Shinyang) in accordance with Samsung’s zero tolerance policy on child labour.

“As part of its pledge against child labour, Samsung routinely conducts inspections to monitor its suppliers in China to ensure they follow the commitment, and has provided necessary support. For Dongguan Shinyang Electronics, we conducted audits on three occasions since 2013, with the latest one ending on June 25, 2014. No cases of child labour were found during these audits.”

In the separate investigation following the CLW allegations, however, Samsung found evidences of illegal hiring process that took place on June 29. The Chinese authorities are also looking into the case.


Supply Chain Digital Weekly