Organizing Sales Promoters: Casualized Women Workers in Supermarkets

Meilin Wu

Women Workers Under the Trend of Casualization

From the mid-1980’s onwards, Hong Kong has transformed itself from a manufacturing centre to a global financial and sourcing hub. Relative to other Asian countries, the ‘de-industrialization process’ in Hong Kong has been drastically fast and extensive. Employment in the manufacturing sector dropped from 35.8% of total employment in 1986 to a mere 9.7% in 2006, with a loss of 621,000 jobs.1 The majority of the discarded workers were semi-skilled middle-aged women workers. 

Many middle-aged women workers being displaced from manufacturing industries now constitute a large percentage of reserve labour for the growing service sectors. The number of working women in the manufacturing sector dropped from 431,752 in 1986 to 104,576 in 1999, and 72,408 in 2004.2 These 359,434 women workers displaced from the manufacturing sector are middle-aged and low skilled. The hidden unemployed women become ‘discouraged workers’3 and become classified as ‘housewives’ in official statistics, thus becoming invisible. Many female workers end up as manual workers in public housing estates, offices, restaurants, and fast-food chain shops – in other words, in the lower strata of the service sectors.4

Overall, the employment conditions for women have continued to deteriorate. There is a trend of longer working hours and suppressed wages in full-time employment and at the same time, casualization and reliance on part-time workers are other trendy modes of employment. Casual workers are defined by the Hong Kong government as workers who are employed on a day-to-day basis or for a fixed period of less than 60 days. According to the statistical data from the government, the number of casual employees in 2009 is over 225,000 persons, occupying 7.2% of the total working population of 3,125,000. It represents a rise of 6% when compared with year 2002. The rise in casual work is mainly because of the loophole in the Employment Ordinance which exempts employers from being responsible for their social benefits.

Part-time work has also been on the rise: the number of part-time workers has increased by 32%, from 82,000 in 1997 to 182,000 in 2004. The percentage of part-time workers against the whole working force increased from 2.8% to 5.5%. The government defines part-time workers as those who have a fixed number of work days per week and work less than five days a week or less than six hours a day, or who have no fixed number of working days per week but work less than 30 hours per week.

Aside from the failure to be covered by benefits, part-time and casual workers who already have low incomes have been suffering from lack of an hourly minimum wage. Until this year, in Hong Kong there has been no statutory minimum hourly wage for the territory; there has only been a monthly minimum wage applicable to Foreign Domestic Helpers only. This will change this year, however, after years of struggle by Hong Kong unions, as the government has already legislated a statutory hourly minimum wage –which will include all local workers but exclude live-in domestic workers (over 99% of whom are Foreign Domestic Helpers). 

Casualized Work Excluded from the Labour Law Protection

As mentioned above, casual workers are on the rise and are unprotected by Hong Kong’s labour law. The existing Employment Ordinance provides labour protection and benefits entitlement for only employees who work at least 18 hours a week for a continuous period of four weeks (‘4.18’). These benefits include paid maternity leave, sick leave, holidays, rest day, redundancy compensation, etc. Employers can save a lot of workers by hiring workers who work less than the time period defined in this Ordinance (‘4.18’), and who are thus not entitled to any protection by it. 

In many cases, employers try to escape responsibility by setting terms of employment that explicitly stipulate 17.5 hours of work every four weeks, or termination for one week after working for 3.5 weeks, resulting in many new casual work patterns and serious exploitation. Thus, the loophole of the Labour Law has indirectly been increasing casual work. Despite years of labour groups including Hong Kong Women Workers’ Association (HKWWA) protesting to the government to patch up this loophole, the Hong Kong government has taken no serious legal measures to address it.

From left to right: Meilin Wu, HKWWA Coordinator; two sales promoters wearing masks; and two researchers, at a press conference to announce the survey results and the recommendations of
HKWWA and the promoters. Photo: HKWWA


Strategies of Organizing Casualized Promoters

Women workers of Hong Kong are the destined losers in the globalization process. With economic restructuring and casualization, increasing numbers of women are relegated from the formal sector to the informal sector – as irregular workers in and out of employment in different industries. Such an employment pattern further erodes women’s identity as workers, which hamper their potential for organizing under conventional trade unions.  

Employers evade obligations to pay benefits to those who work at least 4 weeks and 18 hours per week (‘4.18 rule’) —setting terms of employment such as 17.5 hours of work every four weeks, or termination of work for one week after 3.5 weeks.

As a women workers’ organization, HKWWA sees that we have unique and important roles to play – to empower the women workers to voice their needs, and to bring about changes to their situation through collective effort.

Thus, organizing casualized women workers continues to be our priority; and one of our main focuses now is organizing retail sales promoters. Thus our strategies now include: 

1. Focusing on organizing sales promoters in supermarkets and continuing visits to them there, to cultivate a sense of commonality and to address specific needs and problems, and work out relevant strategies. 

2. Initiating research on the working situations of promoters and publicizing the report, to arouse the concern of the society. 

3. Adopting a community organizing approach, which takes into account the multiple identities of the casualized sales promoter – as a worker who is deprived of due labour benefits as stipulated by the Labour Ordinance, such as statutory rest days, paid holidays, sick leave, and redundancy payments; and as a mother and a resident of a community.

4. Organizing propaganda activities in communities in order to deliver information and support. A Mobile Information Team visits sales promoters regularly. The content of exchange and information disseminated is not confined to just working conditions and labour laws, but also issues and resources related to family, childcare, and the workers’ or residents’ own health. 

5. Conducting a hotline service on the labour law and family issues, and supporting the workers to address their disputes at the Labour Tribunal, their housing problems and their family issues.

Research Findings: The Vulnerable Situation of Retail Sales Promoters in Hong Kong

From March to July this year (2010), HKWWA launched a research survey on the situation of retail promoters in supermarkets. The research had successfully interviewed 138 promoters at 20 shops of seven superstores or supermarkets. 

The results of the research show the vulnerable situation of retail promoters, as follows:   

1.      More than 99% of retail promoters are women, and 73.9% among them are middle-aged, from ages 41 to 55. Middle-aged women from low-income families are not only the caretakers of the family, they also carry the role of breadwinners. 

2.      There were 118 retail promoters (85.3%) who had been working at the same company more than four years, and among them more than 46% had been working as a promoter over 10 years. It indicates that casualized work is not just a temporary job for women anymore, but rather represents a core source of the women’s family income.

3.      The working pattern of promoter is consistently unstable, as their work depends on the promoter’s working period, which may vary. The common pattern is 7 days or 15 days for one round, and 9 hours per day. They work over 26 days a month in the peak season of retail sales, and may work just 2 or 3 days per week in the low season. According to the ‘4.18 rules’ of the labour law, even though the promoter is fulfilling the requirement of working over 18 hours per week, if they cannot keep it up substantially beyond three months, the promoter cannot be covered under the full protection of Labour Law.
The most common methods for the employers to escape their responsibilities towards promoters are to stop the work for one week when the promoter has nearly reached work for three months, or to arrange working hours just less than 18 hours in one month. Thus, it cuts the continuity of the employment and enables the employer to exclude the promoters from full coverage by the Labour Law.

4.      From the research, 83.3% of the interviewees do not have the benefit of any of the paid labour holidays or any annual leave. Over 60% of the interviewees do not get compensation or sick leave even if they get hurt during working time. More than half of the interviewed promoters do not have the Mandatory Provident Fund, the Hong Kong social security scheme, and 47% of the promoters do not get any allowance for overtime work. They have to attend briefing sections as new products go on promotion, which usually takes a half day and is unpaid, with not even any allowance given for travel expenses.

5.      The casualized pattern of work not only influences the level of protection from the labour law, but affects the arrangement of women’s daily life. Most promoters who were interviewed got their working orders less than three days in advance. Sometimes, they received their working order just the day before. Thus, the promoter is always forced to wait in uncertainty. It then becomes difficult for them to arrange any study, have social gathering activities with friends or family, or get any other part-time jobs.

6.      The wages of the promoters are mainly paid by the hour, but are sometimes paid according to a commission based on a proportion of the products sold. So, it is an unstable way of calculating of wages. On average, wages of promoters are from HK$240 to HK$360 per day of eight hours. It is a bit higher than the minimum wage of HK$33 (US$4.20) per hour that labour groups have proposed. But as the number of working days per month is unstable, the workers’ monthly income is also unstable.

7.      As the promoters are required to work at any supermarket the employer sends them to, they must always work at different areas even though the location might be far away from their home, and it costs them a lot for the travel. From the research, the travel expenses may be from be 9% to nearly 21% of their income. If they refuse to work at the locations they are sent to, it will affect their future chances of being assigned work.

8.      The promoters easily get hurt at work, since they must not only sell the product, but have to prepare the counter before the start of work as well. As they are not staff of the supermarket, they have to take the product for promotion from the lorry at the car park to the storeroom of the supermarket, and also carry the products from the storeroom to the counter when orders come from the customers. From the research, 17.4% promoters have gotten hurt from their work, and of those, over 70% did not get any compensation. Furthermore, they have to take the risk of the product loss themselves; if the products get stolen, they have to pay for the loss individually.

The following are HKWWA’s proposed policy recommendations for the casualized workers:

1. The Government should review and revise the ‘4.18’ definition of continuous employment under the Employment Ordinance, in order to provide employment protection for women in casual employment.

2. The Government should set up a statutory minimum wage system to ensure a decent living for low-income workers.

3. The Government should establish a universal retirement protection system for all citizens, particularly for the low-income women and homemakers.

4. Subsidized traffic allowance should be granted to the workers when they have to work in other areas far from their homes.

 

Endnotes

1. Oxfam Hong Kong, Policy Paper, 2007.
2. Census and Statistics Department (2005)
Hong Kong Annual Digest of Statistics, p. 23.
3. Chan, Kam Wah & Leung, Lai Ching (1999) Women in and out of work: a research report. Hong Kong: Department of Applied Social Studies, Hong Kong Polytechnic University, City University of Hong Kong, Hong Kong Young Women’s Christian Association.
4. The service sector (in
Hong Kong) is composed of following industries: retail and wholesale, import and export trade, catering, transportation, communication, financial, real estate, commercial, social and personal services. 

 

HK Coop BagsCooperatives – A Vital Part of Women Workers’ Struggle

Since 1991, HKWWA has been assisting women workers to form cooperatives and operate a Mini-Store, in which all workers are co-decision-makers, and profits go to supporting campaigns of women workers’ rights. Typical products sold in their store, aside from food items, are handmade soap and handbags made from recycled materials by other women’s groups. The cooperatives can be sustained and survive in universities, because the university students are attracted by the food and the ideals of cooperatives.
Through the process of building and sustaining the cooperative, the workers not only regain a lost sense of dignity after being disposed by society in the process of globalization but promote an alternative set of values to those of capitalism: respect for workers, mutual support and environmental sustainability.

For more information (in Chinese),
go to www.hkwwa.org.hk.

 Right: Bags made from recycled materials by women’s groups and sold in the worker cooperative Mini-Store set up with the help of HKWWA. Photo: HKWWA