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    Monitoring result for Linhai Yu Xing Handicrafts Co., Ltd on site Linhai Yu Xing Handicrafts Co., Ltd

    2021-09-15

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    Monitoring result for Linhai Yu Xing Handicrafts Co.,
    Ltd on site Linhai Yu Xing Handicrafts Co., Ltd
    Monitoring
    Monitored Party : Linhai Yu Xing Handicrafts Co., Ltd
    amfori ID : 156-037095-000
    Site : Linhai Yu Xing Handicrafts Co., Ltd
    Site amfori ID : 156-037095-001
    Address : Ancient City Street Office, Two Water Village
    : 317000, Linhai
    : Zhejiang Sheng
    : China
    Monitoring Activity : amfori Social Audit - Manufacturing
    Monitoring Type : Full Monitoring
    Submission Date : 30/05/2022
    Expiration Date : 30/05/2023
    ?
    This is an extract of the online monitoring result, generated on 30/05/2022, and is only valid as
    an acknowledgement of the result. To see all the details, review the full monitoring result, which is
    available here - The English version is the legally binding one.
    amfori does not assume any liability with regard to the compliance of this extract, or any versions of this extract, with the Regulation (EU) 2016/679
    (General Data Protection Regulation).
    All rights reserved. No part of this publication may be reproduced, translated, stored in a retrieval system, or transmitted, in any form or by any
    means electronic, mechanical, photocopying, recording or otherwise, be lent, re-sold, hired out or otherwise circulated without the amfori consent.
    © amfori, 2021
    Overall rating
    A B C D E None
    Section rating
    PA1: Social Management System C
    PA 2: Workers Involvement and Protection C
    PA 3: The Rights of Freedom of Association and Collective Bargaining A
    PA 4: No Discrimination A
    PA 5: Fair Remuneration B
    PA 6: Decent Working Hours D
    PA 7: Occupational Health and Safety B
    PA 8: No Child Labour A
    PA 9: Special Protection for Young Workers A
    -
    1
    /
    8PA 10: No Precarious Employment A
    PA 11: No Bonded Labour A
    PA 12: Protection of the Environment C
    PA 13: Ethical Business Behaviour A
    -
    2
    /
    8General description
    Factory name: Linhai Yu Xing Handicrafts Co., Ltd
    Factory address: Ancient City Street Office, Two Water Village, Linhai City, Zhejiang
    Business license number: 91331082569373389Y
    The factory was established on February 22, 2011 and specialized in manufacturing of outdoor furniture. The main production
    activities in the factory included metal process (cutting, punching, drilling, welding), assembly, inspection and packing. The
    surface treatment process was subcontracted to other factory. Per factory management, the peak season was not obvious.
    The factory was consisted of one 4-storey office and production combined building, one 1-storey production building. The total
    construction area were around 4558 square meters. No canteen or dormitory was provided for workers.
    There were totally 30 employees (Male: 15 Female: 15) in the factory, including 9 non-production employees and 21 production
    employees. The youngest employee worked in the factory was 18 years old. The working hour was recorded by biometric
    recognition machine with detailed time in and time out information. The normal working time were 8 hours per day from Monday
    to Friday, all workshops ran 1 shift (8:00-11:00, 12:00-17:00). Employees were paid at hourly rate on or before 30th of the
    following month in cash.
    According to the payroll and attendance records of each 5 samples from March 2022, February 2022 and August 2021, it was
    noted that the regular wages of all sample employees were paid RMB 18.4 to 19.55 per hour, which was higher than the local
    minimum wage RMB 2070 per month or RMB 11.90 per hour since August 1, 2021. All sample employees were paid 150% and
    200% of regular wages for their work on weekdays and rest days respectively. And the sample employees’ maximum overtime
    hours were 2 hours a weekday and 78 hours a month in the testing months. The maximal weekly working hours were 58 hours.
    The longest consecutively working days were 6 days in the testing periods.
    Total 30 employees including 1 retired employee in April 2022, thus 29 employees could be provided with social insurance.
    According to the social insurance payment receipt provided by factory management, it was noted that 10 out of 29 employees
    (the coverage was 34.48%) were provided with pension, medical, accident, maternity and unemployment insurance in April
    2022. The factory had provided the commercial accident insurance to all 30 employees with valid period since December 9,
    2021 to December 8, 2022.
    The attendance records were cross-checked against production records and confidential interviews were conducted with 5
    employees from different departments. No inconsistencies regarding working hours were found.
    All findings were discussed with the management in the closing meeting. The factory management was receptive of all the
    findings and gave the willingness to take appropriate corrective actions.
    Opening meeting factory representatives (name and titles): Mr. Ding Chaoer/Admin manager; Ms. Sun Suzhen/HR manager;
    Ms. Zhou Youfei/Worker Representative
    Remark:
    1. The factory did not obtain government waivers, collective bargaining agreements, and no agencies or contractor was used by
    the factory; which made aforesaid documents not applicable.
    2. The factory rent buildings from landlord (Linhai Fuan Fashion Co., Ltd), and there were 3 other factories (a. Taizhou Sanhe
    Electronic Appliance Co., Ltd which produced light; b. Linhai Bangda Instrument Factory which produced instrument; c. Linhai
    Meida Silica Gel Product Co., Ltd which produced silica gel product) with separate business licenses in the same location. Per
    factory tour, document review and employee interview, no co-mingling was noted between the auditee and them.
    Audit Company: Bureau Veritas Consumer Product Service
    Audit Company APSCA number: 11600002
    Lead Auditor Name: Hazel Chen
    APSCA Auditor Registered Number: CSCA21702115
    Announcement Type: Announced full audit
    Monitoring Date: May 23, 2022
    -3/
    8Site Details
    Site : Linhai Yu Xing Handicrafts Co., Ltd
    Site amfori ID : 156-037095-001
    GICS Classifification
    Sector : Consumer Staples
    Industry Group : Household & Personal Products
    Industry : Household Products
    Sub Industry : Household Products
    amfori Process Classififications GS1 Classififications
    N.A. N.A.
    NACE Classifification Water Stress Situation
    N.A. N.A.
    -
    4
    /
    8Metrics
    Key Metrics
    Total workforce 30 Workers
    Legal minimum wage in local currency 2070 Monthly
    Lowest wage paid for regular work at the site 3200 Monthly
    Calculated living wage in local currency 2212 Monthly
    Total sample 5 Workers
    Other Metrics
    Male workers 15 Workers
    Female workers 15 Workers
    Permanent workers - Male 15 Workers
    Permanent workers - Female 15 Workers
    Temporary workers - Male 0 Workers
    Temporary workers - Female 0 Workers
    Seasonal workers - Male 0 Workers
    Seasonal workers - Female 0 Workers
    Management - Male 2 Workers
    Management - Female 2 Workers
    Apprentices - Male 0 Workers
    Apprentices - Female 0 Workers
    Workers on probation - Male 0 Workers
    Workers on probation - Female 0 Workers
    Workers with night shift - Male 0 Workers
    Workers with night shift - Female 0 Workers
    Workers with disabilities - Male 0 Workers
    Workers with disabilities - Female 0 Workers
    Domestic migrant workers - Male 12 Workers
    Domestic migrant workers - Female 9 Workers
    Foreign migrant workers - Male 0 Workers
    Foreign migrant workers - Female 0 Workers
    Workers hired directly - Male 15 Workers
    Workers hired directly - Female 15 Workers
    Workers hired indirectly - Male 0 Workers
    Workers hired indirectly - Female 0 Workers
    Unionised workers - Male 0 Workers
    Unionised workers - Female 0 Workers
    Workers under CBA - Male 0 Workers
    Workers under CBA - Female 0 Workers
    Pregnant workers 0 Workers
    Workers on parental leave - Male 0 Workers
    Workers on parental leave - Female 0 Workers
    Sample - Male 3 Workers
    Sample - Female 2 Workers
    -
    5
    /
    8Findings
    PA1: Social Management System
    The factory had established a management system according to amfori BSCI COC requirements, but partial performance
    area could not be implemented according to amfori BSCI COC requirements completely at current, such as insufficient social
    insurance, monthly overtime exceeded 36 hours, issue of occupational health and safety, environment, etc. This violated
    Performance Area 1: Social Management System and Cascade Effect-1.1.
    The factory had established the production capacity assessment procedure, but they had not assessed production capacity
    effectively. This violated Performance Area 1: Social Management System and Cascade Effect 1.4.
     PA 2: Workers Involvement and Protection
    It was noted that the factory provided the commitment that they would implement the social responsibility according to the local
    law and BSCI COC and have long-term goals, but no a step-by-step approach toward sustainable improvements. And workers
    or worker representatives did not take part in the process of making the long terms goals. In accordance with the requirement of
    Performance Area 2.2, the auditee shall define long-term goals to protect workers according to the BSCI Code of Conduct.
    BSCI BSCI
    The factory provided the records of communication about requirements of social responsibility between the management and
    workers, however, 2 out of 5 sampled workers were not aware of the requirements of social responsibility or the BSCI Code per
    employee interview. This violated Performance Area 2: Workers Involvement and Protection 2.4.
    t was noted that the established grievance mechanism included all interested parties, but no record was showed factory had
    collected the grievance of interested parties. This violated Performance Area 2: Workers Involvement and Protection 2.5.
     PA 5: Fair Remuneration
    Insufficient social insurance participated. Total 30 employees including 1 retired employee in April 2022, thus 29 employees
    could be provided with social insurance. According to the social insurance payment receipt provided by factory management,
    it was noted that 10 out of 29 employees (the coverage was 34.48%) were provided with pension, medical, accident, maternity
    and unemployment insurance in April 2022. The factory had provided the commercial accident insurance to all 30 employees
    with valid period since December 9, 2021 to December 8, 2022. In accordance with Article 73 of the Labor Law of the People’s
    Republic of China. According to factory management, they did not provide social insurance to all employees because some
    employees were unwilling to participate in the social insurance program. All employees interviewed also confirmed that they
    were voluntarily to participate in the social insurance program.

    It was noted that the risk assessment for safe, healthy and hygienic working conditions was not conducted sufficiently. The
    risk assessment did not cover all production activities, workplaces, machinery, equipment, tools and processes. This violated
    Performance Area 7: Occupational Health and Safety 7.3.
     
    It was noted that noise and dust was generated in metal process workshop, which might cause occupational diseases to
    employee in the workshop. However, factory did not conduct testing of factors of occupational hazards in the workshop. In
    accordance with Article 20 of Provisions on the Supervision and Administration of Occupational Health at Work Sites.
     
     1. It was noted that the factory could not provide the construction safety documents (e.g. report or registration file of inspection
    for completed building construction project) for one 1-storey production building. As per stated by factory management, the
    building was completed in 2008. In accordance with Article 61 of Construction Law of the People's Republic of China, Article 49
    of Regulation on the Quality Management of Construction Projects. No obvious crack was available on the walls of the building.
    The construction safety document for one 4-storey production building was provided for review. 2. It was noted that factory
    management was unable to provide the fire acceptance check for one 1-storey production building for review. The building was
    about 1500 square meters. In accordance with Article 14, 26, 33, 34 of Interim Provisions on Management of Fire Prevention
    Design Examination and Acceptance Check of Construction Project. The factory had installed hydrants and fire extinguishers in
    the building. The fire acceptance check for one 4-storey production building was provided for review.
    It was noted that part of the power plug wires of two machines in metal process workshop were not protected through pipes.
    In accordance with Article 5.1.2 of the General Guide for Safety of Electric User (GB/T13869-2017). Factory conducted safety
    inspection monthly, they ignored it during inspection.
    It was noted that no protective devices were installed for the drop hangers of both cranes in the metal process workshop. This
    violated Article 6.1.6 of Code of Design of Manufacturing Equipment Safety and Hygiene. The factory management explained
    that they did not notice it and interviewed workers stated that no injure was occurred. Other machines were installed with safety
    protection guards.
    Through factory tour, it was noted that no toilet paper was provided in washing room located in metal process workshop, and no
    private door was installed for stalls. This violated Performance Area 7: Occupational Health and Safety 7.22.
     Remark: No transportation was provided by the factory.
    Remark: No dormitory was provided by the factory.
    PA 9: Special Protection for Young Workers
    Remark: No young worker was hired by the factory.
    9: Special Protection for Young Workers
    Remark: No young worker was hired by the factory.
    PA 12: Protection of the Environment
    It was noted that the factory could not provide the report of environmental impacts, the report form of environmental impacts or
    the registration form of environmental impacts of the construction of the facility. In accordance with the Article 16 of Law of the
    People’s Republic of China on Appraising of Environment Impacts.
     
    1. It was noted that factory management was unable to provide the approval document for the report form of environmental
    impacts. In accordance with the Article 22 of Law of the People’s Republic of China on Appraising of Environment Impacts.
    In accordance with Registration measures on the administration of environmental impact registration forms of construction
    projects, article 3, article 7, article 12, article 15. 2. It was noted that factory management was unable to provide the approval
    document for on-site inspection and acceptance of completed environmental protection facilities for review. In accordance with
    Article 17 of the Regulations on Environmental Protection Check and Acceptance for Completed Construction Project.
     
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