More than 1,000 workers at an IBM factory in south east China are on strike.
They have downed tools and blocked the entrance to the plant in protest over the terms of the transfer of their jobs to Chinese computer firm Lenovo.
IBM is selling its x86 low-end server business to Lenovo, which includes the International System Technology Company facility at Shenzhen, near Hong Kong.
The workers want higher pay if they change to working for Lenovo or higher severance packages if they choose to leave.
The terms offered to workers at the factory are “comparable in aggregate to what they currently are receiving,” IBM spokeswoman Florence Ma said in an e-mailed statement. If workers choose to leave, they will receive an “equitable severance package,” Ma said.
Lenovo declined to comment.
Chinese factories employees are increasingly turning to protests and factory shut-downs when they feel the terms of international takeovers are not good enough or labor conditions have worsened.