China is planning to adopt a new law that seeks to crack down on sweatshops and protect workers? rights by giving labor unions real power for the first time since it introduced market forces in the 1980?s. The move, which underscores the government?s growing concern about the widening income gap and threats of social unrest, is setting off a battle with American and other foreign corporations that have lobbied against it by hinting that they may build fewer factories here.
See "China Drafts Law to Boost Unions and End Labor Abuse", David Barboza, The New York Times, October 12, 2006