Brazilian authorities have suspended construction at a BYD electric vehicle (EV) factory in Camaçari, Bahia state, following the discovery of 163 Chinese workers laboring under “slavery-like conditions.”
Investigation Findings
The Brazilian Public Labor Prosecutor’s Office (MPT) reported that these workers were subjected to:
- Excessive Working Hours: Shifts exceeding legal limits, often extending to 12 hours daily without rest days.
- Degrading Living Conditions: Accommodations lacking basic amenities, with reports of workers sleeping on beds without mattresses and sharing bathrooms among 31 individuals.
- Restricted Freedom: Confiscation of passports and requiring permission to leave their lodgings, effectively limiting personal autonomy.
- Health and Safety Violations: Lack of access to clean drinking water, with some workers resorting to drinking from puddles, and inadequate safety equipment, such as absence of protective footwear and helmets.
BYD’s Response
BYD, a leading Chinese EV manufacturer, stated that the affected workers have been relocated to hotels and that the company has terminated its contract with the implicated construction firm. BYD emphasized its commitment to complying with Brazilian labor laws and ensuring the well-being of all workers involved in its projects.
Legal and Ethical Implications
In Brazil, “slavery-like conditions” encompass forced labor, debt bondage, and work environments that violate human dignity. The MPT has indicated that the situation at the BYD construction site meets these criteria, constituting serious labor violations.
Broader Context
This incident highlights ongoing concerns about labor practices within global supply chains, particularly in rapidly expanding industries like electric vehicle manufacturing. It underscores the necessity for multinational corporations to enforce stringent oversight of subcontractors to ensure ethical labor standards are upheld across all operations.
Next Steps
The MPT is continuing its investigation and has not yet issued fines or detailed the full extent of legal actions to be taken. The construction of the BYD factory, which was slated to be operational by March 2025 as the company’s first EV plant outside of Asia, remains suspended pending further review.
