Shanghai Daily News

One of the major tasks of Zhabei District this year is to develop the establishment of trade unions in foreign-funded companies. Local government officials recently announced that the number of unions among foreign firms in the district will surpass 60 percent by year-end.

Foreign-funded companies have already grown into an increasingly important driving force for the city's economy due to the country's reform and opening up over the past quarter century. More Chinese have found jobs in foreign companies in recent years.

Switzerland-based China Schindler Elevator Company is among 131 enterprises which have set up a trade union and has achieved a satisfactory result.

Du Xiaohua has worked at the company for 10 years. He was one of seven founder members of the trade union.

"It is well known that there are still a number of foreign-capital enterprises that have not established trade unions in the district. This is because some are afraid of getting trouble from unions," he said.

"However, for me, the relationship between the union and company should not be opposed. A good company union can create a win-win situation for both employees and the boss."

Asked why he joined the union, his explanation was simple: "To safeguard my interests and rights, as well as to provide a more agreeable working environment for colleagues."

"A single employee's voice is not loud enough. We can depend on the trade union," Du said.

Last year, an event happened which supported his claim.

A total of 50 workers, all with 10 years or more work experience, wanted to sign a long-term contract with the company.

At first, the administration department rejected the request. After persistent negotiations between the union members and the company, a deal was finally realized. New contracts for the workers were extended three years.

The union also organized a charity event for its member Xiao Pin.

The worker suffered from leukemia but couldn't afford the high cost of the treatment. The union raised 164,085 yuan (US$20,567) which covered most of the cost of the treatment. Most importantly, it saved Xiao's life.

Recreational activities, such as badminton tournaments, singing contests and performances during festivals, have also been organized and are very popular among employees.

According to union member Du, there are around 800 workers in the company and they all take an active part in the activities organized by the union.

Some sports event have also attracted foreign workers.

"Besides the excitement, I felt a responsibility (to join)," Du said.

"The union is expected to protect employees' interests and rights, as well as coordinate activities with Schindler to make sure the business runs smoothly."

While most Chinese enterprises have set up trade unions in line with the country's related laws, some foreign-funded companies, to date, have not formed unions to represent their workers.

To change this situation, Zhabei District in recent years has promulgated a series of policies to address such outstanding problems as contract negotiation, industrial injury insurance and education for workers' children.

Recently, US retail giant Wal-Mart announced it would establish its third trade union in China.

This can be considered a good sign in the development of unions among China-based foreign firms.

Considered as a milestone for the unionization of foreign-funded enterprises in China, more trade unions are expected to be set up in local foreign-invested companies in future.

In addition, industrial trade unions for such fields as logistics, law and security guards are expected to set up in the district this year.