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A Chinese factory where the manufacture of Disney products stopped
after complaints about working conditions has now closed with the loss
of 800 jobs.
Amid claims and counter-claims over working conditions at the factory, Disney has been accused of failing to ensure that conditions were improved at the Huang Xing plant, commonly known as B-Planet, in Shenzhen, southern China, and of endangering its future by removing its business. However, the company has replied that it tried continually to persuade B-Planet’s owners to observe good labour standards but they eventually reacted by closing down.
B-Planet was supplying memorabilia for Tokyo Disneyland to a Japanese company licensed by Disney’s operation in Japan.
When the labour rights allegations were made in two publications. Disney issued a statement saying it laid down a code of conduct for manufacturers and demanded social compliance audits of factories producing Disney-branded goods.
Disney said it allowed the manufacturing to go on at B-Planet while an audit was conducted to investigate the allegations. It pointed out that its employment policy was consistent with international labour standards and Chinese labour law but B-Planet and the licensee protested that the requirements were too strict. Disney said both refused to consider any changes in work conditions, and B-Planet decided to stop production of Disney-branded goods. Then came the closure.
The company said in its statement: ‘Any claims that Disney has decided to walk away from the current situation regarding the B-Planet factory are false. Disney has been working with both the licensee and factory for many months. To the contrary, notwithstanding multiple offers by Disney to help improve standards, the factory and the licensee have chosen to walk away.’
It said it was continuing to discuss the dispute with the licensee, civil society groups and local government officials.
Amid claims and counter-claims over working conditions at the factory, Disney has been accused of failing to ensure that conditions were improved at the Huang Xing plant, commonly known as B-Planet, in Shenzhen, southern China, and of endangering its future by removing its business. However, the company has replied that it tried continually to persuade B-Planet’s owners to observe good labour standards but they eventually reacted by closing down.
B-Planet was supplying memorabilia for Tokyo Disneyland to a Japanese company licensed by Disney’s operation in Japan.
When the labour rights allegations were made in two publications. Disney issued a statement saying it laid down a code of conduct for manufacturers and demanded social compliance audits of factories producing Disney-branded goods.
Disney said it allowed the manufacturing to go on at B-Planet while an audit was conducted to investigate the allegations. It pointed out that its employment policy was consistent with international labour standards and Chinese labour law but B-Planet and the licensee protested that the requirements were too strict. Disney said both refused to consider any changes in work conditions, and B-Planet decided to stop production of Disney-branded goods. Then came the closure.
The company said in its statement: ‘Any claims that Disney has decided to walk away from the current situation regarding the B-Planet factory are false. Disney has been working with both the licensee and factory for many months. To the contrary, notwithstanding multiple offers by Disney to help improve standards, the factory and the licensee have chosen to walk away.’
It said it was continuing to discuss the dispute with the licensee, civil society groups and local government officials.
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