Giant insists it will continue to protect migrant worker rights, that as the Taiwanese bike brand confirmed it has now issued complete refunds to migrant workers over allegations which saw imports of the company’s bicycles blocked by US Customs earlier this year.
A statement published on Thursday suggested the necessary corrective action is progressing “on schedule”, a second phase of all remaining refunds to migrant workers completed on December 1. That followed the completion of the first phase in mid-October.
In September, the administration of US President Donald Trump issued a withhold release order against Giant, blocking the import of its bikes from Taiwan, meaning US Customs and Border Protection would begin detaining its bicycles, components and accessories.
This order was made after an investigation alleged evidence of abusive working and living conditions, debt bondage, withholding of wages, and excessive overtime. The report by the Business & Human Rights Resource Centre also included allegations of worker fees being paid by Giant factory workers. Giant confirmed that some migrant employees had paid recruitment fees to recruiters in their home country, something the company insisted it was “not involved in the negotiation and collection of”.
Giant soon entered talks with US authorities and fellow Taiwanese-based bike brand Merida changed its migrant worker policy, namely by introducing a zero-fee policy.
Now, Giant says its Corrective Action Plan (CAP) is progressing to the approved schedule and refunds have, as of the first week of December, been issued in full following the first round in October.
A Giant spokesperson said: “The refund calculations and procedures were implemented in accordance with recommendations from a third-party independent auditor, following international standards and thorough fact-finding investigations and assessments.
“All refund amounts have now been fully transferred to the workers’ accounts. This development signifies the full implementation of the Zero Recruitment Fee responsible recruitment policy and marks an important milestone in the company’s human rights and labour governance efforts and responsible recruitment practices.”
As part of the corrective plan, corporate policy is said to have been updated and the company’s recruitment management systems “enhanced”.
The statement continued: “It is the company’s goal to pursue the swift lifting of the WRO and establish an elevated and positive example for the enhancement of labour and human rights governance.
“Giant Group will continue advancing all CAP-related improvement measures, strengthen grievance mechanisms, and implement related measures to actively safeguard and enhance migrant worker rights. Should CBP or relevant authorities request additional actions, the company will fully comply.
“Giant Group will provide regular updates on its official platforms to ensure transparency and remains committed to further strengthening systems that protect migrant worker rights.”
