Corporate Hall of Shame 2008 - Mattel - Corporate Accountability International - Challenging Abuse, Protecting People - Think Outside the Bottle

Is nothing sacred? Can’t we at least conjure up an image of children playing with toys without being reminded of corporate abuse and political power? Sadly, we can’t, especially in 2007. This year’s corporate poster child for endangering children’s health is Mattel, Inc., the world’s largest toymaker.

In a one-month period during 2007, Mattel Inc. recalled nearly two million of its toy products because they contained dangerous levels of lead. In the worst cases, lead paint in Mattel toys was found to be 180 times the acceptable limit. Sucking on or ingesting toys with high lead content can be extremely poisonous for children, causing learning and behavior problems, and even death in some cases.[1]

In addition to its lead toy woes, Mattel recalled an additional 18 million toys because they featured easily-swallowed magnets that could damage children’s digestive tracks.[2]

The background story here is one of a stunningly wealthy corporation that ships its jobs to China in order to avoid America’s taxes, minimum wage and tougher environmental and workforce rules. And to protect its healthy profits, Mattel’s trade association is lobbying to kill U.S. legislation that could better prevent highly toxic toys from hitting the shelves again in the future.

Lobbying against children’s safety
In response to proposed federal legislation that would crack down on toxic toys, Mattel hired several Democratic veterans from the Senate’s Environment & Public Works Committee to lobby the committee on toy recall issues.[3] This is a common strategy of large corporations: hire former legislators to lobby their old friends and colleagues.

Against removing toxins from toys
Mattel’s trade association, chemicals companies and retailers filed a federal lawsuit against the city of San Francisco in response to the city’s measure banning phthalates, commonly found in children's toys. Phthalates are a probable human carcinogen.[4]

Corporate snapshot
Mattel, Inc., founded in 1945 and headquartered in El Segundo, California, is the world’s largest toy company, with $6 billion in revenues. The Barbie line alone accounts for a significant portion of Mattel’s profits. Mattel’s products also include Hot Wheels and Matchbox cars, American Girl dolls and the Fisher Price line.[5]

In a one-month period during 2007, Mattel Inc. recalled nearly 2 million of its toy products because they contained dangerous levels of lead.

Ever-expanding its toy empire, on August 16, 2007, Mattel acquired the rights to manufacture, distribute and market several game properties, including Apples to Apples, Snorta and Blink. On May 23, 2007, it had acquired Origin Products Limited and on October 3, 2006, Mattel acquired Radica Games Limited.[6]

Drawn by the cheap labor and lax environmental and workplace standards, Mattel has been manufacturing its toys in China for 25 years; currently, 65% of its products are made there. China accounts for nearly 80 percent of the $22 billion annual toy market.[7]

However, the recalls have taken a toll on the company's finances. Mattel reported a $40 million loss for the third quarter of 2007.[8]

Take action
The Ecology Center (Michigan) has an active campaign designed to inform consumers about the toxic dangers of toys. The campaign is a collaborative effort with the Washington Toxics Coalition: http://www.healthytoys.org/home.php

U.S. PIRG along with several of the State PIRGS have released materials designed to protect consumers from the toxic dangers associated with toys: https://www.uspirg.org/issues/toy-safety

Environment California has launched a campaign in support of California’s “Stop Toxic Toys Bill” which prohibits the manufacture, sale, and distribution of children's toys and feeding products that contain phthalates: http://www.environmentcalifornia.org/environmental-health/stop-toxic-toys

[4] Kay, Jan. “Toxic Toys: San Francisco prepares to ban certain chemicals in products for kids, but enforcement will be tough -- and toymakers question necessity.” San Francisco Chronicle. November 19, 2006. Accessed on March 13, 2008 from http://www.sfgate.com/cgi-bin/article.
cgi?f=/c/a/2006/11/19/TOXICTOYS.TMP.