First Wal-Mart Union Begins In China

The first Wal-Mart trade union in China was formed after the company bowed to government demands for organized labor in its stores, The New York Times reported Friday.

Wal-Mart's reluctance to allow unions, particularly in the United States where they remain banned from stores, has been a point of controversy for many years. But the government-controlled All-China Federation of Trade Unions fought for the right to create branches in the company's 60 outlets.

Beth Keck, director of international corporate affairs for Wal-Mart, said she was aware of the reports of Chinese unions forming and said the company hopes to have a "cordial and productive relationship" with the federation.

"We know they have been interested in having a relationship with our company for some time," Keck said. "We will, of course, be looking forward to how this will evolve."

Wal-Mart, the world's largest retailer, has operations in 15 countries, many of which have at least some employees that are union members.

The United States, Keck said, is the "clear exception."

Read more on Raw Story