New strike hits Honda parts supplier in China

HONG KONG, July 15 (BestGrowthStock) – A strike has broken out at a
south China factory supplying parts for Japan’s Honda Motor
(7267.T: ), the latest in a string of stoppages by Chinese
workers demanding a bigger piece of the country’s economic
wealth.

The strike, at Atsumitec Co. in the city of Foshan, began
on Monday, with 170 workers striking after management fired
about 100, a worker who declined to give his name told Reuters
by telephone.

“The local government has sent police to our factory, and
will be here in the afternoon,” he said.

A Honda spokeswoman in Tokyo said the factory supplies
shift levers (gear sticks) to the car maker’s local plants, and
said the workers had been on strike since July 12.

The strike marks the end of a couple of weeks of relative
calm for foreign-run Chinese factories, which saw several weeks
of work stoppages in May and June by labourers demanding higher
wages.

The government appears to be prepared to let such strikes
continue as a way to let wages gradually rise, said Geoffrey
Crothall of the China Labour Bulletin.

“I think it’s going to happen throughout the year. It’s not
going away unless the government stops it. But it’s the
government’s position that they really want to raise income
level in order to support the consumption growth of the
country,” he said.

“This is becoming a country-wide phenomenon. The Chinese
government obviously wants to increase the income level of the
general public. And we are seeing rising expectations on the
part of workers — people know that other factories are having
these pay raises and they will expect that from their own
employers.”
(Reporting by Ben Blanchard and Emma Graham-Harrison in
Beijing and Don Durfee in Hong Kong; Writing by Doug Young;
Editing by Alex Richardson)

New strike hits Honda parts supplier in China