Brazilian labor prosecutor has filed a lawsuit against China Automobile Manufacturer Byd and two contractors allegations of illegal trafficking of workers living and working under conditions “slavery similar to slavery.”
Prosecutors were charged with enforcing labor laws on Tuesday and said in a statement that they would seek damages of 257 million Reas ($45 million) as well as contractors Jinjiang Construction Brazil and Tecmonta Equipmentos Intelligentes.
They accused the three companies of building a Biat factory in Kamakari, northeastern Bahia. Prosecutors there claimed that the companies suffered from “extremely degraded” conditions from workers.
“In December last year, 220 Chinese workers were found to be in conditions similar to victims of slavery and international human trafficking,” the statement said.
In addition to moral damage, prosecutors are seeking a fine of 50,000 Reas ($8,867) ($8,867) per violation ($8,867).
The lawsuit comes as a result of a police raid in December 2024, during which authorities said they rescued 163 Chinese workers from Jinjiang and 57 Chinese workers from Tecmonta.
Prosecutors said workers were victims of international human trafficking and visas taken to Brazil were not suitable for their jobs.
They also claim that the conditions at construction sites make workers almost entirely dependent on employers because up to 70% of their wages can be withheld and impose high contract termination costs. Prosecutors said some workers even took their passports away, limiting their ability to leave.
The lawsuit also describes meager living conditions, including some beds without mattresses.
“In a dormitory, only 31 people were identified with a toilet, forcing workers to wake up around 4 a.m. and wash themselves before the start of workday,” the prosecutor's statement said.
Brazil is The largest market For the ratio outside China. The Chinese auto giant said it is committed to human rights, is working with authorities and will respond to the lawsuit in court.
A company spokesman said in December that the allegations of poor work were part of an effort to “smear” Chinese and Chinese companies.
However, Brazilian labor prosecutors rejected the idea that their lawsuit was based on anti-Chinese sentiment.
“Our lawsuit is very well-founded and provides a lot of evidence during the investigation,” Fabio Leal, a labor prosecutor, said in an interview.
He said all workers returning to China will receive any payment related to the lawsuit there, and the Brazilian company is responsible for providing proof of payment.
