Group says factory Wal-Mart uses abuses workers

NEW YORK (Reuters) - A U.S. watchdog group has called on Wal-Mart Stores Inc. to put a stop to what it says is worker abuse at a factory in the Philippines that makes apparel for the retailer.

The Worker Rights Consortium said the Chong Won factory, which primarily makes clothing for Wal-Mart supplier One Step Up, has engaged in labor rights violations including forced overtime and minimum wage violations. The WRC has 167 U.S. college and university affiliates.

Wal-Mart has hired an independent firm to monitor the factory and would continue to investigate allegations of labor rights violations, the retailer said in a statement.

The company has audited the Chong Won factory four times in the last year, once unannounced, according to the statement.

The WRC has accused the factory's management of colluding with government agents in violence against striking workers and said it based its charges on an on-site investigation from October 28 to November 2. WRC said it notified Wal-Mart in November.

"Wal-Mart has the power to compel Chong Won to halt the violent assaults on lawfully striking workers, offer reinstatement to those workers who have been unlawfully dismissed, and recognize the union and begin bargaining," the WRC said in a report.

The WRC said Chong Won has produced casual apparel for a number of brands and retailers, including university licensees. But it said that since mid-2006, all of Chong Won's production has been for Wal-Mart.