On November 27, a Brazilian government agency issued a press release stating that it was gathering information to conduct a lawsuit against the building of BYD‘s new factory in Brazil. The Public Ministry of Labor (MPT) launched the investigation into the working conditions on the construction site after an anonymous complaint on September 30, which was followed up by an inspection on November 11.
Adding fuel to the fire Is a report by journalist André Uzeda from Agência Pública, which alleges physical violence and extremely bad working conditions for the Chinese workers involved. The MPT is currently investigating BYD and the three companies employed by BYD for the construction of the facility.
It is believed that around 470 Chinese workers are employed in the construction of the site by three different contractors. Jinjiang Group, which provides the earthmoving service preparing the site for the start of construction, is believed to employ the majority, with around 280 employees.
Open Steel, which is responsible for producing the plant’s metal structure, employs 100 Chinese workers. The third company, AE Corp, which is in charge of assembling the internal metal structure, has around 90 Chinese employees.
The allegations seem to center mainly on the Jinjiang Group’s treatment and constitute a series of mistreatments and noncompliance with international labor and safety conventions. Workers are subjected to 12 hours a day, seven days a week, with some working without shoes or safety helmets. Workers do not have access to clean drinking water and have been seen drinking from puddles of water.
Pictures have emerged of dirty bathrooms and degrading eating conditions for workers. The accommodation is described as dirty, crowded, and poorly lit, with no division between men and women.
More worryingly still, video, audio, and picture evidence have emerged of workers being subjected to violence by foremen. This appears to be regular whenever there is a situation of noncompliance or when there is a delay in the execution of work.
It’s believed that part of the reason for the mistreatment is that the factory’s construction is behind schedule. The first phase of work called for the installation of 26 new structures, including the production plant test track and other equipment. This was meant to be completed by the end of this year and would allow BYD to complete 150,000 vehicles a year. However, it is now expected to be completed at some point in January.
Brazilian workers employed by the companies in question are not subject to such harsh working conditions. Those employed by BYD work from 8 AM to 6 PM, with one hour for lunch. Those employed by the three contractors, on the other hand, work from 7 AM to 5 PM with a two-hour lunch break. It’s believed that around 590 Brazilians are working on the construction of the factory.
When questioned about the practices, BYD blamed the Jinjiang Group and demanded that the group take action urgently.
The BYD plant is being built in Camaçari on a 4.6 million square meter plot of land provided by the state government. Construction began in March, and it is on the site where Ford operated for almost 20 years before ending its activities in 2021. BYD paid 287.8 million Real (48 million USD) for the site.
Editor’s note:
One allegation often levied at Chinese companies operating overseas is the number of Chinese workers employed in such sites, particularly during the construction phase. As can be seen in the case of the BYD plant, almost half of the construction workers are Chinese.
Sources: Publica, Bahia Noticias, Carta Capital, CPG
