SEOUL Aug 5 Samsung Electronics Co Ltd
said on Tuesday that it will cut business volume
with a Chinese subsidiary of Shinyang Engineering Co Ltd
by 30 percent from a year earlier after discovering
the use of child labour.
Samsung said in a statement that while Dongguan Shinyang
Electronics, Shinyang Engineering's wholly owned subsidiary, did
not directly hire or engage in hiring of illegal labour, Chinese
authorities found that children were hired to work for the
subsidiary through a labour dispatch agency.
"Given the Chinese authorities' finding that Dongguan
Shinyang itself did not hire child labour, Samsung will lift the
suspension of business with Dongguan Shinyang," Samsung
"Nevertheless, Samsung has decided to still take measures
against Dongguan Shinyang to hold the supplier responsible for
failing to monitor its subcontractors, in accordance
with Samsung's zero-tolerance policy on child labour."
(Reporting by Se Young Lee; Editing by Ryan Woo)