I'm a Chinese national working in the US. I have never heard of this kind of punishment.
Can you provide any evidence?
Can you provide any evidence?
China detains relatives of U.S. reporters in apparent punishment for Xinjiang coverage.
https://www.washingtonpost.com/world/china-detains-relatives...
While the specific context of this was related to journalists, I would certainly take pause with respect my actions at an employer likely to bump heads and attract the attention of that government. There is an escalation of tensions, with the US and China taking hard stances on vistor visas. It's not unreasonable to be concerned about other sanctions.
But the point you made is correct, activist's family could be punishment.
edit: punishment -> punished