Workers at IBM China strike over compensation
Xinhua, March 8, 2014
Hundreds of workers at a manufacturing subsidiary of IBM in south China's Guangdong Province. [File photo]
Hundreds of workers at a manufacturing subsidiary of IBM in south China's Guangdong Province on Friday protested for the fifth day over what workers say is a compensation package unilaterally determined by IBM.
Workers at IBM Systems Technology Company (ISTC) in Shenzhen protested against a compensation package they claim is unsatisfactory and determined without negotiation with workers.
Chinese PC maker Lenovo announced in January a deal with IBM to buy the latter's low-end server business for 2.3 billion U.S. dollars. The Shenzhen-based firm is also included in the deal.
IBM on Monday informed ISTC workers of its offering. Workers at the company can either choose to stay with their remuneration unchanged, or resign voluntarily with a "reasonable and appropriate compensation package."
Workers will be considered as choosing to stay at the firm if they do not sign a resignation agreement by March 13, IBM said.
However, Cheng Hongji, a representative of protesting ISTC workers, said the compensation package should be negotiated between IBM and workers, instead of solely decided by the company.
Chen added that part of the compensation based on a worker's years of employment should be doubled. He also proposed adding eight items, including a stipend for night shifts, extended social security and medical insurance coverage, to the package.
Workers and the company have not held dialogues or negotiations despite the two sides' disagreement and five days of protest.
