China CSR Watch

By China CSR Watch (www.csrcsr.com)

Although nearly all MNCs publish CSR report, Ford may well be the first to publish CSR reports specially for China. And not only once, but twice.

October 18th 2006, Ford China published its second CSR report detailing its CSR efforts from 2003 to 2005. Ford China published its first CSR report in China in 2002 about its CSR achievement from 1992-2002.

The billingual Ford CSR report can be downloaded here: Ford China CSR Report on ford.com.cn

Sources (in Chinese):
Xinhua: http://www.xinhuanet.com/classad/zxft/20061018/index.htm
Sina Foreign Management: http://leadership.jrj.com.cn/news/2007-06-29/000002373777.html
Sina.com: http://finance.sina.com.cn/roll/20061017/0752979755.shtml

By China CSR Watch (www.csrcsr.com)

According to a research published by Chinese Foundation for Hepatitis Prevention and Control on June 27th 2007, 77% MNCs in China refuse to recruite hepatitis B virus (HBV) carriers, and 96% require compulsory blood test.

The research surveyed 115 branches or JVs of 98 MNCs in China, covering 11 cities. The companies named in the report for refusing to recruite HBV carriers include Motorola, Siemens, Phillips, Foxconn, Sony, Samsung.

“Although most MNCs have global policies that require them not to discriminate based health conditions, their Chinese branches lack the application and supervision of their global policies,” the research explains.

HBV is a social problem in China. It is estimated that 120 million people, around 10% of the total population in China, are HBV carriers. Although HBV can only be transmitted through blood, mother-infant, or sex, most Chinese still have the perception that HBV is highly contagious and refuse to live or work with HBV carriers. Until recently, even many government branches refuse to hire HBV carriers.

On May 30th, Ministry of Health and Ministry of Labour and Social Security jointly issued a memo stating that employers can not refuse recruiting or lay off employees due to HBV, except in some special positions regulated by relevant laws and regulations.

Chinese HBV carriers are increasingly agreesive in protecting their rights in recent months. In May, a job applicant sued Nokia for discrimination. In July, 4 college graduates sued Foxconn for discrimination during recruiting.

Sources (in Chinese and English):
Chinese Foundation for Hepatitis Prevention and Control: http://www.cfhpc.net/static/html/200762791826.html
Xinghua: http://news.xinhuanet.com/politics/2007-05/30/content_6174757.htm
Nanfang City News: http://tech.tom.com/2007-06-27/06MP/31160236.html
Financial Times: http://www.ftchinese.com/sc/story_english.jsp?id=001010048&loc=story
China Youth Daily: http://news.sohu.com/20070515/n250019069.shtml

By China CSR Watch (www.csrcsr.com)

PetroChina published its first Corporate Social Responsibility report on February 28th 2007, in an effort to be more open and transparent to public to improve its image amid oil price gauging accusations and after some major accidents.

According to the report, “in 2006, PetroChina donated a total of RMB 80.11 million in disaster relief, 16.45 million in education, 80,000 PetroChina volunteers served more then 200,000 people.”

PetroChina, the second largest Chinese oil company ranked at 39th in the Fortune Global 500 list, has been plagued with major accidents in recent years. It was ranked 63rd, of all 64 companies evaluated, in the 2006 Fortune Accountability list with an accountability score of 3 out of 100.

In 2003, a blowout of its natural gas well in Chongqing province killed 243 villagers. In 2005, a blast in its oil chemical plant in Jilin province polluted the water system and halted the tap water supply of Harbin, a major city of 3.5 million residents, for 4 days, and directly resulted the resignation of head of the environmental protection bureau of China.

PetroChina has been trying hard to improve its record on safety.

“Compared with 2005, accidents with fatality were lowered by 25%, and fatality was reduced by 12%. However we are regret to see 3 major accidents happened and 21 lives lost,” stated in the CSR report.

PetroChina has been ranked number one in the Top 50 Corporate Social Responsibility Chart compiled by Hurun Report published April 2007.

According to Hurun Report, PetroChina has more than 1 million employees, 177.1 billion Chinese yuan tax payment, and 720 million donation from 2003-2006. PetroChina is a clear leader in corporate social responsibility in China. (According to PetroChina’s CSR report, it has 446,000 employees excluding external employees.)

Sources (in English and Chinese):
PetroChina English CSR Report: http://www.petrochina.com.cn/chinese/zrgg/Corporate%20Social%20Responsibility%20Report%202006.rar
163.com http://money.163.com/07/0411/13/3BQ74E1V00251RJ2.html
Huran Report: http://www.hurun.net/listcn62.aspx
Xinghuanet: http://news.xinhuanet.com/fortune/2007-03/22/content_5880218.htm
WTO Guide: http://chinawto.mofcom.gov.cn/aarticle/by/cb/200704/20070404614048.html
Chinanews: http://news.163.com/06/1114/02/2VRSKH01000120GU.html
Fortune: http://money.cnn.com/magazines/fortune/global500/2006/accountability/full_list.html