Foxconn hiring freeze unrelated to production of Apple's iPhone 5
Apple manufacturing Partner Foxconn has halted recruitment of new hires until the end of March, but the decision was not made related to production of the iPhone 5.
Bruce Liu, spokesman for Foxconn, dispelled rumors in an interview with Bloomberg, and revealed that the hiring freeze was put into place after more workers returned from the Chinese New Year break than did last year.
Earlier Wednesday, a report from the Financial Times claimed that the hiring freeze was implemented as production of the iPhone 5 has begun to slow. That comment was attributed to Foxconn spokesman Liu Kun.
The contradicting reports come as new data found that both Apple's 2012 iPhone 5 and the 2011 iPhone 4S were the two most popular smartphones in the world in the fourth quarter of last year. Both devices bested Samsung's flagship Galaxy S3, and accounted for one in five smartphone sales even without the inclusion of the still-available iPhone 4, which can be purchased for free with a new service contract.
Rumors of slowing iPhone 5 production hit Apple's stock in early trading on Wednesday, sending shares down as much as 1.9 percent. However, shares began to recover some of those losses later in the morning as the initial report was disputed.
Bruce Liu, spokesman for Foxconn, dispelled rumors in an interview with Bloomberg, and revealed that the hiring freeze was put into place after more workers returned from the Chinese New Year break than did last year.
Earlier Wednesday, a report from the Financial Times claimed that the hiring freeze was implemented as production of the iPhone 5 has begun to slow. That comment was attributed to Foxconn spokesman Liu Kun.
The contradicting reports come as new data found that both Apple's 2012 iPhone 5 and the 2011 iPhone 4S were the two most popular smartphones in the world in the fourth quarter of last year. Both devices bested Samsung's flagship Galaxy S3, and accounted for one in five smartphone sales even without the inclusion of the still-available iPhone 4, which can be purchased for free with a new service contract.
Rumors of slowing iPhone 5 production hit Apple's stock in early trading on Wednesday, sending shares down as much as 1.9 percent. However, shares began to recover some of those losses later in the morning as the initial report was disputed.
Comments
And the stock is down over $7 so far today.
1) Interesting. Thanks.
2) Why are so many not returning to work?
Quote:
Originally Posted by SolipsismX
1) Interesting. Thanks.
2) Why are so many not returning to work?
Seasonals. Folks that got the job to make some extra cash building for the holiday rush in the West. The Foxconn equal to college kids getting a job at the local Gap while home for 'Christmas'
" new data found that both Apple's 2012 iPhone 5 and the 2011 iPhone 4S were the two most popular smartphones in the world in the fourth quarter of last year. Both devices bested Samsung's flagship Galaxy S3,"
Good for this too.
Quote:
Originally Posted by zoetmb
Apple's stock price simply does not reflect reality. IMO, the stock is being constantly manipulated and/or falls on absurd rumors with little facts to back them up.
Yeah but doesn't there just come a time when that unreality IS the new reality?
It has been reported that as few as two major hedge fund groups, were responsible for big sell offs of Apple stock, based on nothing more than speculation. And moronic traders decided to follow suit. The stock market is driven by greed and emotion, not data based analysis. This proves the point precisely.
Quote:
Originally Posted by jfc1138
Huh, sounds like those working conditions improvements are having an effect. Good for them.
Exactly what I was thinking. If you treat your employees well and pay them a decent salary, then you'll have a lot less turn over.
Quote:
Originally Posted by SolipsismX
1) Interesting. Thanks.
2) Why are so many not returning to work?
There are several factors that I have been able to discern. The first thing you have to understand is that it is very common for people to live far from home to work and stay in company dorms. One of my guys lives about 2 hours by plane, BY PLANE, and only goes home every couple months to see the wife and kid. So if a job in your specific discipline opens up closer to home that is one motivator. Since there are always new projects starting, it isn't unlikely that you can get a new gig. Another factor is that workers will leave for almost any raise in pay. Another factor that could be a cause of the timing (i.e., don't come back after the new year holiday, which most people take 2-3 weeks off for) is that employers often pay a large bonus just before new year, so you stay until then to get the money. We do see a lot less turnover in the professional side of the work force. I have been told that there is a cultural stigma against professionals who don't stay at a job very long.