In 2023, China Labour Bulletin (CLB) recorded a peak of collective actions in the auto industry since 2015. Intense competition and EV transition hit workers of various companies. Worker grievances include layoffs and lack of severance pay, overdue payments, reduced wages and increased workload. Just transition initiatives by German and US unions are worth learning.

In 2023, strike cases were recorded in Chinese auto parts factories supplying for German multinationals. Causes include relocations, overdue payments and contaminated food. As the German Supply Chain Act came into force in 2023, the large German auto companies downstream have to ensure their suppliers comply with the human rights and labour rights standards. China Labour Bulletin followed up on a strike case by urging Volkswagen to investigate the potential labour violations, and the communication is ongoing.

CLB analyses the post-Covid changes in China’s manufacturing industry from a workers’ rights perspective, describes our data collection and case investigation methodology, and introduces how we have begun to interact with stakeholders along the supply chain through this approach. Finally, we provide recommendations for suppliers, brands, and members of civil society to join in our approach, with the goal of collaborating for improved global supply chain practices.

Despite holding junior positions, former employees of Pinduoduo are facing lawsuits demanding hundreds of thousands of yuan for allegedly violating non-compete agreements.