China shoe factory workers end strike over benefits (updated)

Stella International Holdings

11/03/2015 11:55

(Recasts with strike ending) 
    SHANGHAI, March 11 (Reuters) - Employees at a shoe factory 
in southern China that lists international fashion houses among 
its customers returned to work on Wednesday after going on 
strike this week over benefits, the company and a labour 
activist said. 
    The strike at Stella International Holdings Ltd's  1836.HK  
Xing Ang factory in the city of Dongguan started on Sunday with 
workers concerned about government housing fund contributions 
and payouts. 
    The strike involved 5,000 to 6,000 people, according to 
activists and a worker, making it one of China's biggest strikes 
at a factory since April last year when about 40,000 employees 
of Adidas  ADSGn.DE  and Nike  NKE.N  supplier Yue Yuen went on 
strike to demand social insurance payments.  ID:nL3N0NH2PR  
    A spokeswoman for Stella International said only "a few 
hundred" workers had gone on strike. 
    "Discussions are still ongoing, but as of this morning 
almost all workers have returned to work," the spokeswoman said. 
     The website of Stella International lists Guess? Inc 
 GES.N , Michael Kors Holding Ltd  KORS.N , Prada SpA  1913.HK  
and Burberry Group Plc  BRBY.L  among its customers.  
     A Burberry spokeswoman said the company stopped producing 
at the factory in 2013. There was no immediate comment from 
Guess or Prada. Calls to Michael Kors went unanswered. 
     China's slowing economy, rising costs and the spread of 
social media have driven an increase in strikes. Last year, the 
number of strikes more than doubled to 1,378 from 656 the year 
before, according to China Labour Bulletin, a Hong Kong-based 
advocacy group. 
    Zhang Zhiru, a labour activist, said workers went back to 
their jobs on Wednesday after coming under pressure from local 
authorities following promises from the factory to address their 
problems. 
    Earlier, worker Liu Zai said by telephone that workers had 
returned to their posts under pressure but were not working. 
  
 
 (Reporting by John Ruwitch and Alexandra Harney; Editing by 
Stephen Coates and Susan Thomas) 
 ((john.ruwitch@thomsonreuters.com; +86 21 6104 1786; Reuters 
Messaging: john.ruwitch.thomsonreuters.com@reuters.net)) 
 
Keywords: CHINA STRIKE/