Behind BYD’s Billion-Dollar Boom: The Harsh Reality of Worker Exploitation

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Chinese electric vehicle (EV) giant BYD surpassed US$100 billion in revenue last year, establishing itself as a global leader in the EV industry and expanding rapidly into international markets. However, beneath this remarkable growth lies a troubling pattern of labour exploitation, raising serious concerns about how profits are being prioritised at the expense of basic workers’ rights and dignity.

In Brazil, federal prosecutors in Bahia State recently filed a lawsuit against BYD and its contractors, seeking 257 million reais (approx. US$45 million) in damages for mental harm and demanding individual compensation for each affected worker. The case stems from a 2023 raid at a BYD construction site in Camaçari, where 220 Chinese workers were rescued from what authorities described as “conditions analogous to slavery.” Many of these workers were brought in under false pretences, with investigators describing the situation as a case of international human trafficking.

The investigation revealed shocking abuses: some workers slept on bare beds, with 31 people sharing a single toilet. Food and personal items were stored in unsanitary conditions. Workers were reportedly forced to wake as early as 4 a.m., endured excessive work hours without rest days, and in some cases worked for 25 days straight. Authorities found their passports confiscated, 60% of their wages withheld, and large deposits demanded—non-refundable if they left within six months. These conditions violate both Brazilian and international labour laws, amounting to forced labour.

Abuse is not confined to BYD’s overseas operations. In early 2024, mass worker strikes erupted in the company’s factories in Wuxi and Chengdu, China. Thousands protested pay cuts and reduced benefits following BYD’s acquisition of Green Point, a manufacturing firm previously owned by Jabil. Despite promises to maintain existing wages and benefits for 18 months, BYD implemented a five-day, 8-hour work schedule in early 2024, causing workers’ monthly income to plummet from 5,000–6,800 yuan to as low as 3,000–4,000 yuan—barely above China’s minimum wage. As many rely on overtime to survive, workers allege that the move was a tactic to push them to resign voluntarily and avoid severance payouts.

The strikes quickly spread from Wuxi to Chengdu. Chinese authorities responded with a heavy hand: police detained some protesters, reflecting the harsh reality of labour rights activism in mainland China. Although BYD attempted to placate workers with holiday overtime compensation, unrest continues to simmer across its facilities.

According to data from the now-disbanded organisation China Labour Bulletin, there were 591 incidents of collective worker action in the first four months of 2025—up 24% from the same period last year. BYD is only one high-profile example in a wider trend of growing labour unrest.

While BYD publicly claims to uphold human rights and comply with legal standards, the mounting evidence of abuse paints a different picture. From Brazil to China, the company’s business model appears to rely on squeezing its workforce while chasing aggressive global expansion. Without urgent reform and accountability, even record-breaking sales cannot silence the outcry from workers who are paying the price.