Workers at Shunjia Toys, a factory in Jiangxi province, China, are sharing disturbing stories of labor exploitation and abuse. This insight is drawn from a new report jointed released by China Labor Watch (CLW). The factory has more than 4,500 workers making the world-famous Labubu toys. Despite these contributions, it’s been criticized for a range of labor rights abuses, including using underage workers and not providing sufficient health and safety training.
Researchers from CLW conducted interviews with more than 50 workers at Shunjia Toys and found a factory that fosters deeply troubling practices. One of three workers interviewed who were ages 16 and 17. In reality, they were discovered working without the special protections that Chinese law stipulates for them. This coupled with the stark reality of child labor should set off alarm bells regarding the enforcement of labor regulation in Appalachia.
At Shunjia Toys, young workers are assigned typical assembly line roles. They do the same heavy lifting and achieve the same productivity goals as their adult counterparts. To meet existing demand, the factory needs to be able to produce at least 4,000 Labubus per day. A core team of 25 to 30 workers meet this challenge. Hiring young people between the ages of 16 and 18 is permissible under Chinese law. This practice has some critical protective measures built in that, at least apparently, were not followed in this case.
Chinese labor laws only allow for a maximum of 36 hours of overtime a month. Workers at Shunjia Toys regularly work more than 100 hours over that limit. These grueling hours are illegal, but they endanger the health of our nation’s young workers.
The report further noted that when market demand surges, production frequently expands beyond anticipated levels, placing additional pressure on workers. Over the first half of 2025, Pop Mart—the parent company of Labubu—reported record revenue. Their new “Monsters” toy line has generated 4.8 billion yuan (£511 million) in sales. Furthermore, this high-flying demand has been a driving factor for the exploitative conditions experienced by workers at Shunjia Toys.
“This gap between planned capacity and actual output is not uncommon in China’s manufacturing sector.” – Li Qiang
CLW’s report highlighted the failure of current supply-chain oversight tools. It said that these computer-based systems lack the capacity to reliably detect or address labor violations in time to protect workers. Qiang urged for enhanced transparency and accountability within the supply chain:
A spokesperson for Pop Mart has denied these allegations on their behalf. They stressed the industry’s commitment to the welfare and safety of workers at its OEMs’ factories. They highlighted that regular audits of supply chain partners are conducted:
“At present, existing supply-chain oversight mechanisms do not appear sufficient to identify and prevent these labor issues in a timely and effective manner. If Pop Mart is serious about reducing labor risks in the Labubu supply chain, it should establish accessible grievance and communication mechanisms for workers (such as an independent and effective worker hotline), improve transparency around actual factory working conditions, and disclose its supply chain structure, including outsourced production, to enable meaningful oversight.” – Li Qiang
The spokesperson acknowledged the concerns raised by CLW and confirmed that an investigation into the matter is underway.
“We take the welfare and safety of workers at our [original equipment manufacturers] factories very seriously. We conduct regular, standardized audits of our OEM supply chain partners, including annual independent third-party audits carried out by internationally recognized professional audit firms.” – Pop Mart spokesperson
Public and government scrutiny over labor practices is increasing. Now, it’s more important than ever for companies like Pop Mart to avoid these pitfalls by making active efforts to comply with fair labor practices. Shunjia Toys recently etched themselves into creative and systemic memory by exemplifying the lack of predictable concerns within temporary global supply chains. It highlights the urgent need for vigorous enforcement of labor laws.
“We appreciate the information brought to our attention and are currently investigating the matter. Going forward, Pop Mart will continue to strengthen supply chain audit and oversight mechanisms. Should the findings be substantiated, we will firmly require the relevant partners to implement comprehensive corrective actions in accordance with local laws and regulations.” – Pop Mart spokesperson
As the scrutiny over labor practices intensifies, it remains crucial for companies like Pop Mart to address these issues promptly and ensure compliance with labor standards. The situation at Shunjia Toys serves as a reminder of the ongoing challenges within global supply chains and the need for robust enforcement of labor laws.