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Samsung Labor Audit Reveals Overtime Violations

By - Source: Samsung | B 14 comments

Firm aiming to address excessive overtime and a fine policy for lateness or absences.

Samsung has revealed the results of a four-week audit examining the working practices of 105 suppliers involved in the production of its devices.

The audit team included 121 employees who were tasked with the job of ensuring the firm's suppliers across China were compliant with local laws, as well as its own regulations.While the company's auditors found no child labor taking place, they did discover instances where rules and regulations were violated.

"The audit identified several instances of inadequate practices at the facilities, including overtime hours in excess of local regulations, management of supplier companies holding copies of labor contracts, and the imposition of a system of fines for lateness or absences," Samsung said.

As well as addressing the issue of overtime, Samsung stressed that it's ensuring all suppliers carry out a new hiring process that prohibits the hiring of underage workers. It has also requested suppliers utilize an electronic device to detect fake IDs.

By the end of the 2012, the South Korean company wants suppliers to fix contract discrepancies, in addition to eliminating fines when employees are absent or late. It also wants to open hotlines where workers can anonymously report abuses. In order to address long working hours, the company stated it is "researching and developing measures that will eliminate hours beyond legal limits by the end of 2014."

Samsung is currently reviewing 144 more supplier companies in China and is expected to be completed by year's end. When 2013 arrives, it'll monitor a total of 249 supplier facilities via a third-party audit company.

"Samsung takes concerns about working conditions in China seriously and, whenever an issue is identified, we take immediate and appropriate steps to correct it," the company added. "Our goal is to assess, improve, and continuously monitor every aspect of working conditions at Samsung supplier facilities to meet our own high standards."

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  • 19 Hide
    Anonymous , November 27, 2012 7:53 AM
    clubsaucekillerNot only do they make worse phones than Apple, they're determined to have worse working conditions as well.


    Silly apple fan boy, the GS3 now outsells the iPhone, and Foxconn (the company apple use) are the worst in the world for cheap labour
  • 12 Hide
    blazorthon , November 27, 2012 7:56 AM
    clubsaucekillerNot only do they make worse phones than Apple, they're determined to have worse working conditions as well.


    Quite the opposite in both examples. Try again after re-reading the article. Samsung isn't just asking nicely for better conditions and allowing them to stay the same, they're already better than that of Apple's suppliers and are being forced into getting better. Furthermore, Samsung's recent phones are better than Apples overall and not just because of the Maps fiasco.
Other Comments
  • 19 Hide
    Anonymous , November 27, 2012 7:53 AM
    clubsaucekillerNot only do they make worse phones than Apple, they're determined to have worse working conditions as well.


    Silly apple fan boy, the GS3 now outsells the iPhone, and Foxconn (the company apple use) are the worst in the world for cheap labour
  • 6 Hide
    cats_Paw , November 27, 2012 7:53 AM
    Marketing hype or true concern? only time will tell.
  • -2 Hide
    Cons29 , November 27, 2012 7:55 AM
    slap in apple's face?
  • 12 Hide
    blazorthon , November 27, 2012 7:56 AM
    clubsaucekillerNot only do they make worse phones than Apple, they're determined to have worse working conditions as well.


    Quite the opposite in both examples. Try again after re-reading the article. Samsung isn't just asking nicely for better conditions and allowing them to stay the same, they're already better than that of Apple's suppliers and are being forced into getting better. Furthermore, Samsung's recent phones are better than Apples overall and not just because of the Maps fiasco.
  • -3 Hide
    christarp , November 27, 2012 8:07 AM
    wozza365Silly apple fan boy, the GS3 now outsells the iPhone, and Foxconn (the company apple use) are the worst in the world for cheap labour

    It outsold the iphone 4s the month the iphone 5 was debuting. Grats to them I guess

    Cats_PawMarketing hype or true concern? only time will tell.

    Yeah we should wave concerns like this away as marketing hype obviously.

    Cons29slap in apple's face?

    This doesn't even make sense

    blazorthonQuite the opposite in both examples. Try again after re-reading the article. Samsung isn't just asking nicely for better conditions and allowing them to stay the same, they're already better than that of Apple's suppliers and are being forced into getting better. Furthermore, Samsung's recent phones are better than Apples overall and not just because of the Maps fiasco.

    First better is subjective, second, apple has managed to get foxconn to raise wages of workers anywhere from 16-25%
  • 0 Hide
    cats_Paw , November 27, 2012 8:12 AM
    Chris, the problem is not the marketing, but beeing concerned by it and trying to solve it definitly is.
  • 2 Hide
    blazorthon , November 27, 2012 8:23 AM
    christarpIt outsold the iphone 4s the month the iphone 5 was debuting. Grats to them I guessYeah we should wave concerns like this away as marketing hype obviously.This doesn't even make senseFirst better is subjective, second, apple has managed to get foxconn to raise wages of workers anywhere from 16-25%


    Minor wage raises are nothing compared to what Samsung is doing (although I give Apple minor props for it if it's true, that is the first that I've heard of it).

    Better isn't really subjective. Some aspects of each phone being better or not can be said to be subjective, but looking at the phones overall, it's not so subjective to say which is better. Samsung has the better hardware and what is currently usually regarded as a superior operating system with the most updated versions of Android.

    It may be subjective, but not particularly so. I could go into great detail about the objective reasoning for it.

    I agree with what you said about Cons29's post... That simply didn't make sense. In no way was this article an attack against Apple and I didn't see the subject nor what Samsung was quoted to have said to be an attack against Apple. I also didn't think that it was bad for it to not be an attack against Apple. Apple deserves flack for some things, but Samsung shouldn't get off from their own mistakes and this article covers such a mistake and Samsung's attempts at fixing it. I'd be interesting to read about how effective Samsung's attempts end up being.

    I am liking how Zak Islam seems to be making fewer Apple FUD articles. I'm not saying that I'm liking more pro-Samsung/Android/MS articles, just that more seem to not be misleading, wrong, or pointless. I find nothing wrong with making a lot of articles about Apple, just some of what Zak had said was oftentimes less than accurate or filled with bias. Congrats Zak (I think I said this in a way overly offensive way, sorry about that)! Now, if only we could get a ridiculously in-depth direct comparison between the Galaxy Note 3 and Iphone 5 later on and without any bias... That has some potential regardless of which is better or worse to provide some conclusiveness to any Samsung/Apple wars in the high-end for the newest models of each company's most high end smart phones.
  • 4 Hide
    Anonymous , November 27, 2012 10:23 AM
    Speaking of China, for those consumers with a conscience.I would like to point out that a shockingly high percentage of items sold in Walmart are now made in America again. The pricing is also competitive with the Chinese made junk(despite not being made with slave labor, and actually being made in a country that enforces environmental regulations).

    So, if you'd like to support your fellow American, and not have the Chinese pollute the earth's air and oceans, then look for "Made in the USA" next time you go shopping.
  • 1 Hide
    g00fysmiley , November 27, 2012 1:04 PM
    vachinaSpeaking of China, for those consumers with a conscience.I would like to point out that a shockingly high percentage of items sold in Walmart are now made in America again. The pricing is also competitive with the Chinese made junk(despite not being made with slave labor, and actually being made in a country that enforces environmental regulations).So, if you'd like to support your fellow American, and not have the Chinese pollute the earth's air and oceans, then look for "Made in the USA" next time you go shopping.


    agreed with the made in america part, but disagree on the walmart part, shop local when you can, that is putting money in your community and each walmart costs the US $420k in welfare on average per store because they don't pay thier employees enough. look for made in america and if you have to shop big box go with target a company that pays and gives better benefits to its workers
  • 0 Hide
    jecastej , November 27, 2012 1:08 PM
    blazorthonCongrats Zak (I think I said this in a way overly offensive way, sorry about that)! Now, if only we could get a ridiculously in-depth direct comparison between the Galaxy Note 3 and Iphone 5 later on and without any bias... That has some potential regardless of which is better or worse to provide some conclusiveness to any Samsung/Apple wars in the high-end for the newest models of each company's most high end smart phones.


    What a humble contribution! And by the way what is the point to write the "ridiculously in-depth direct comparison between the Galaxy Note 3 and Iphone 5 later on and without any bias" if you already know what device is better. I guess you will need to correct any mistake and then "approve" the thing if you think it deserves such an honor.
  • 1 Hide
    Anonymous , November 27, 2012 1:21 PM
    Why is this news relevant? 99% of the companies (from the smallest to the biggest) face overtime labour violations. It's as common as Apple's lawsuits.

    I alone work over 12 hours a day - you don't see anyone making a report on me because.. NOBODY CARES
  • 0 Hide
    blazorthon , November 27, 2012 1:46 PM
    jecastejWhat a humble contribution! And by the way what is the point to write the "ridiculously in-depth direct comparison between the Galaxy Note 3 and Iphone 5 later on and without any bias" if you already know what device is better. I guess you will need to correct any mistake and then "approve" the thing if you think it deserves such an honor.


    I can guess at which is better, but since I've yet to see either of them, I couldn't know for sure.

    Whether or not I approve of the ultimate resulting article is irrelevant for the point of it being done or not.
  • -2 Hide
    robochump , November 27, 2012 9:51 PM
    Sp
    wozza365Silly apple fan boy, the GS3 now outsells the iPhone, and Foxconn (the company apple use) are the worst in the world for cheap labour


    Spoken like a true Samsung fan boy. Doing business in Asia will come with violations since businesses are pushing the maximizing profits to the limits.