Strike continues at IBM plant in China

Updated: 2014-03-11 11:28


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SHENZHEN - The strike at a manufacturing subsidiary of IBM in south China's Guangdong province has continued into its eighth day with 20 of the protesters fired on Monday.

Strike continues at IBM plant in China

IBM workers shout slogans as they protest at an IBM factory in Shenzhen, Guangdong province, March 7, 2014. More than 1,000 workers at an IBM factory in southern China have gone on strike against the terms of their transfer to Chinese PC maker Lenovo Group Ltd caused by the US company's $2.3 billion sale of its low-end server business. [Photo/Agencies] 

Workers at IBM Systems Technology Company (ISTC) in Shenzhen are protesting since March 3 against a compensation package they claim is unsatisfactory and determined without negotiation with workers.

Twenty workers were fired in two batches on Monday for "disobeying company orders, absence without leave, and gathering together during work times". According to the statement issued by the company, contracts will be terminated immediately and the 20 will be asked to leave the company without compensation.

As of 8 p.m., about a hundred workers were still protesting at the company square where a dozens of tents have been set up.

"We won't be allowed to enter the plant if we leave, so we have to stay here all night," said one of the dismissed workers.

The human resources administration of Futian District has been involved in the matter since the first day of the strike, and IBM has refused to negotiate with the 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. The Shenzhen-based firm is included in the deal.

IBM informed ISTC workers of its offer on March 3. Workers at the company can either choose to stay with their remuneration unchanged, or resign voluntarily with a "reasonable and appropriate compensation package".