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by Andreas Manhart & Rainer Grießhammer

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Social Impacts of the Production of Notebook PCs by Andreas Manhart & Rainer Grießhammer LCM 2007, Zürich, August

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1 by Andreas Manhart & Rainer Grießhammer
Global Electronics Industry: Structures – Social Impacts – Mechanisms for Improvements by Andreas Manhart & Rainer Grießhammer ERSCP 07, 21st of June 2007

2 → Various social trouble spots in the life cycle of ICT products
→ Growing consumer concerns

3 BMBF: Case study computer & Methodology development to integrate social aspects into LCA

4 L i f e C y c l e o f C o m p u t e r s
The Computer‘s Life Cycle → Focusing on social aspects L i f e C y c l e o f C o m p u t e r s WSIS EMPA StEP Greenpeace World Bank FIAN FFI CAFOD SOMO Corporate data Hardware Manufacturing Resource Extraction Use Disposal & Recycling

5 The Notebook Industry: Brandname-Companies
Headquarter Dell USA No own production Hewlett-Packard Lenovo (formerly IBM) China (formerly USA) Acer Taiwan Toshiba Japan Partly own production Fujitsu-Siemens Japan & Germany Own production (high-end only) NEC Sony Apple Asus (= Asustek) Own production

6 The Notebook Industry: Assembly-Companies
Company Headquarter Production Sites Production volume 2006 Quanta Taiwan PR China Compal Wistron PR China, Philippines Inventec Asustek Mitac Uniwill FIC Arima Twinhead ca Clevo

7 The Notebook Industry: Supplier-Structure
PR China Hong Kong Sanger Strongwill Vina Jingyou Gold Peak New Sun Taiwan GLW Simplo production headquarter company Battery-block assembly: 7% South-Korea, PR China South-Korea LG Chem 12% Japan MBI Panasonic Samsung SDI 15% Japan, PR China Sony 28% Sanyo market-share production sites headquarter company Battery-cell manufacturing:

8 Developing Social Indicators
C. Society C.1 Public commitments to sustainability issues C.2 Prevention of unjustifiable risks C.3 Employment creation C.4 Vocational training C.5 Anti-corruption efforts C.6 Social & environmental minimum standards for suppliers and co-operation partners C.7 Non-interference in sensitive political issues C.8 Contribution to the national economic development C.9 Prevention & mitigation of armed conflicts C.10 Transparent business information C.11 Protection of intellectual property rights Employees A.1 Safe & healthy working conditions A.2 Freedom of association, right to collective bargaining & workers‘ participation A.3 Equality of opportunity and treatment & fair interaction A.4 Abolition of forced labour A.5 Abolition of child labour A.6 Adequate remuneration A.7 Adequate working time A.8 Employment security A.9 Social security A.10 Professional development A.11 Job satisfaction D. Users / Consumers B. Local Community B.1 Safe & healthy living conditions B.2 Respect of human rights B.3 Respect of indigenous rights B.4 Community engagement B.5 Maintaining & improving social and economic opportunities

9 → Labour rights activists → Internet-sources → Expert judgements → …
Quantitative & Qualitative Indicators Quantitative and qualitative information of various sources → Companies → Labour rights activists → Internet-sources → Expert judgements → …

10 Social Indicators (for Chinese Factories)
Workers: Remuneration: 690 RMB (= 69 Euro) per month Working hours: 196 hours / months officially, about 290 hours unofficially Child labour: no major problem Forced labour: no major problem Freedom of association: not guaranteed Social insurances: basic (legal obligations) Housing: Dormitories (8 persons per room) Discrimination: Young women preferred Health & safety: Partly hazardous work in component manufacturing On product level: Remuneration: 1.0 – 2.0 Euro per notebook (assembly only) Working hours: 2.5 – 3.0 hours per notebook (assembly only)

11 Measures towards FAIR electronics:
IMPROVE the handling of critical production processes (chemicals) ALLOW independent reporting on working conditions (e.g. SA 8000) ESTABLISH durable and trustful business relations between brandname-companies, suppliers and sub-suppliers (→ investments in social and environmental standards should not lead to disadvantages) ENCOURAGE workers to organise and participate TRAIN workers and management in labour rights issues (→ national labour law, international standards (ILO)) COMMUNICATE with the consumers (→ positive marketing of fair and sustainable products)

12 THANK YOU FOR YOUR ATTENTION !
Contact: Dr. Rainer Grießhammer +49 (0)761 – Andreas Manhart +49 (0)761 –


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