Filippa K AB, Complaint 446

CONCERNING LABOUR STANDARDS
Payment of a living wage Legally binding employment relationship
STATUS
Resolved
DATE
2009-04-15

The complaint concerned the FWF labour standard payment of a living wage:

The worker complained about the fact that the factory prepared falsified payroll records and forced workers to sign fake pay slips whereas the actual wage for the plaintiff was 200RMB-500RMB lower than the wage in the falsified payroll records.

Findings and conclusions

On 15 April 2009, FWF's complaints handler in China received a complaint from a worker , who claimed that the factory prepared falsified payroll records and forced workers to sign fake pay slips whereas the actual wage for the plaintiff was 200RMB-500RMB lower than the wage in the falsified payroll records. FWF declared this complaint admissible and informed Filippa K, the FWF member brand sourcing at this factory. Phone interviews, offsite worker interviews and the assessment of a recent audit were conducted to investigate the complaint. Through this investigation the complainant's claim was found not grounded, however, it was found that management of the factory systematically provided incorrect pay slips and payroll records during social audits. Furthermore, the factory was found to make use of excessive overtime and that workers are not properly paid for overtime hours. FWF concludes that the factory falsifies pay slips and payroll records to mislead auditors on hours of work and payment of overtime premiums. As management of the factory disagreed with the results of the complaint investigation, Filippa K and FWF decided to deploy a local expert from FWFs local stakeholder network to facilitate further dialogue on the complaint. This consultant visited the factory in April 2010. After the meeting with the local expert, the factory agreed with Filippa K to a corrective action plan to remediate the above mentioned issues. The complaint has been resolved.

Overview of the complaint investigation

2010-05-28 Resolved

The complaint has been resolved.