Compal Electronics Inc (仁寶電腦), which announced on Tuesday it would lay off more than 100 employees in Taiwan, denied yesterday it had mistreated its Chinese employees in Chengdu, Sichuan Province.
According to local media reports, more than 2,000 employees in Compal’s Chengdu plant took industrial action over the past few days over disputes about salaries and other benefits.
The reports said Chinese workers were required to work 28 days for about 2,200 yuan a month.
In an e-mailed statement issued yesterday, Compal said workers were allowed to take days off on a regular basis and received overtime pay.
The Taipei-based company said mediation for the labor dispute was under way, with some employees returning to work yesterday.
Compal president Ray Chen (陳瑞聰) said Chinese authorities had intervened to reconcile the conflict, adding that most media reports were incorrect.
“The incident does not bring significant impact to the company’s business operations,” Compal said in the statement. “There is no record showing that the company hired child labor.”
Compal said that the company’s production capacity in the Chengdu factory was enough to sustain shipment supplies.
In addtion, the company can also utilize capacities in Jiangsu Province to help fill shortages, it said.