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Journal of Business Ethics (2008) 81:513–529 Springer 2007
DOI 10.1007/s10551-007-9521-2
Impacts of Corporate Code of Conduct
on Labor Standards: A Case Study
of Reebok’s Athletic Footwear Supplier
Factory in China Xiaomin Yu
ABSTRACT. This study examines the social impacts of standards among key players in global supply chain; and
labor-related corporate social responsibility (CSR) poli- (2) combining regulatory power of voluntary codes and
cies or corporate codes of conduct on upholding labor compulsory state legislations.
standards through a case study of CSR discourses and
codes implementation of Reebok – a leading branded KEY WORDS: athletic footwear industry, China, cor-
company enjoying a high-profiled image for its human porate codes of conduct, corporate social responsibility,
rights achievement – in a large Taiwanese-invested ath- labor standards, Reebok, trade union, wages
letic footwear factory located in South China. I find al-
though implementation of Reebok labor-related codes
has resulted in a ‘‘race to ethical and legal minimum’’
labor standards when notoriously inhumane and seriously
illegal labor rights abuses were curbed, Chinese workers Introduction
were forced to work harder and faster but, earned less
payment and the employee-elected trade union installed Several decades of neoliberal economic globalization
through codes implementation operated more like a has enabled global capital to flow more freely and
‘‘company union’’ rather than an autonomous workers’ swiftly across national borders, especially to low-
organization representing worker’ interests. In or
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