Summary of Common Violations of Disney Production Regulations

child labor

Manufacturers may not use child labor. The term child refers to a person who is under the age of 18 (or under the age of 20 as determined by local law), or under the higher local minimum legal age for employment, or under the age for completing compulsory national education. Even if manufacturers employ young people who do not meet the above definitions of children, they must still comply with any relevant laws and regulations regarding such persons.

If the worker is under 15 years old (or under the legal age of 14 in some countries) on the day of the audit, the violation is a child labor violation. For example: the audit date is June 16, 2005, and the worker was born on August 18, 1989.

Historical child labor: If a worker is below the legal working age on the day he or she joins the factory, but has reached the legal working age on the day of the audit, the violation is historical child labor. For example, the audit date is June 16, 2005, the worker was born on March 3, 1989, and the date before he or she joined the factory was February 4, 2005.

Involuntary labor

Manufacturers shall not use any forced or involuntary labor, whether prison, slave, indentured or otherwise.

For example:

1) Workers need approval from factory management to leave the factory after get off work;

2) The worker’s original passport or ID card is confiscated;

3) Overtime is mandatory and cannot be chosen.

Intimidation and harassment

Manufacturers will treat every employee with dignity and respect and shall not use corporal punishment, threats of violence, or other forms of physical, sexual, psychological or mental abuse.

For example:

1) Employees are threatened by factory management and/or factory supervisors;

2) Employees are verbally abused or sexually harassed by their supervisors.

Non-discrimination

Manufacturers must not discriminate in hiring and employment practices, including with respect to wages, benefits, promotion, discipline, termination, or retirement, based on race, religion, age, nationality, social or ethnic group, sexual orientation, gender, political opinion, or disability.

Freedom of association

Manufacturers will respect the rights of employees to associate, organize and bargain collectively in a legal and peaceful manner without punishment or interference.

Health and Safety

Manufacturers will provide workers with a safe and healthy workplace in compliance with all applicable laws and regulations, and ensure that they have at least reasonable access to drinking water and sanitary facilities; fire safety; and adequate lighting and ventilation. Manufacturers will also ensure that the same health and safety standards are applied in any housing provided to workers.

Salary

We expect manufacturers to recognize that wages are essential to meeting the basic needs of employees. At a minimum, manufacturers shall comply with all applicable laws and regulations regarding wages and hours, including those regarding minimum wages, overtime, maximum hours, piece rates, and other components of compensation, and provide legally required benefits. If local law does not require overtime pay, manufacturers shall at least pay regular wages for overtime work. Unless there are extraordinary business circumstances, manufacturers shall not require employees to work more than the lesser of (a) the workweek plus 12 hours of overtime or (b) the limits on regular and overtime hours permitted by local law, or if local law does not limit hours, the normal workweek in the country plus 12 hours of overtime. In addition, unless there are extraordinary business circumstances, employees shall have the right to at least one day off in every seven-day period. If local industry standards are higher than the relevant legal requirements, we expect manufacturers to comply with the higher standard.

salary

Minimum wage

Training salary

Overtime pay

Piece rate wages

Welfare

Working hours

48 working hours per week or higher local requirements

12 hours of overtime per week or higher local requirements

Rest Day

One day off in seven days

Special business environment = peak season

No more than 4 months per year

No more than 72 hours per week

60/72 Mode

Environmental friendly

The manufacturer will comply with all relevant environmental protection laws and regulations.

Other laws

Manufacturer will comply with all applicable laws and regulations, including those regarding the manufacture, pricing, sale and distribution of goods.

Transshipment: U.S. Customs requires Disney to establish a policy to prevent the illegal transshipment and misrepresentation of the origin of textile products.

Auditor's Actions

1. When auditing a Chinese manufacturer, you must check the product's origin label to determine whether it says "Made in China".

2. When auditing manufacturers in Hong Kong and Macau, it is necessary to determine whether the monthly output reported by the factory is consistent with the actual size of the factory.

3. Watch out for factories with unusual conditions, such as the origin mark being sewn into finished garments, no origin mark, and incomplete production processes.

4. Indicate any potential illegal transshipment and misdeclaration of origin in the “Other Laws” column of the report.