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Foxconn denies Apple is providing raises to its employees

post #1 of 10
Thread Starter 
Apple is not directly compensating Foxconn workers, an executive with the overseas manufacturing partner said this week, denying a rumor that first formed last month as a number of suicides gained public attention.

Foxconn officially denied that the Mac maker is paying employees a 2 percent subsidy on labor costs, according to Taiwanese industry publication DigiTimes. An executive from Foxconn said that the rumor was just speculation, and his company has never received any subsidies from Apple.

That refutes a report issued in early June, which alleged that Apple was directly providing raises to Foxconn employees after a number of suicides occurred at the company's massive factory in Shenzhen, China.

Apple Chief Executive Steve Jobs spoke on the Foxconn issue last month at the All Things D Conference. He said that his company was "on top of" the matter, and that Foxconn "is not a sweatshop."

"It's a factory, but my gosh, they have restaurants and movie theaters, but it's a factory," Jobs said. "But they've had some suicides and attempted suicides, and they have 400,000 people there, The rate is under what the U.S. rate is, but it's still troubling."

The company did reveal in May that it will give a 20 percent pay raise to its employees. Entry-level workers at the company's factory in Longhua reportedly earn just over 900 yuan, or $131.80 U.S> per month before overtime and bonuses.
post #2 of 10
EDIT
sad about the suicides
not fox comms fault
AI should stop this yellow writing

9
whats in a name ? 
beatles
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whats in a name ? 
beatles
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post #3 of 10
Because eveyone knows that a pay raise is the cure for suicidal tendencies. Coulda used that information prior to 9/11...

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post #4 of 10
$131 a month? I'd starve on that salary. I though I was starving at $4800/mo . I really can't complain

Apple increments product features one bite at a time...hence the logo. Want the next big thing? You're gonna have to pick another fruit from the Apple Tree.

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Apple increments product features one bite at a time...hence the logo. Want the next big thing? You're gonna have to pick another fruit from the Apple Tree.

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post #5 of 10
I feel so sorry when I see the photos of Chinese ladies assembling computers etc.

Intellectually I know that factory jobs are the historically proven way to move an economy from rural to service-based. UK and US had factory towns like Foxconn in the 17/1800s. So I am lucky in that my ancestors went through this so I don't have to.

But non-intellectually, on a personal level, if I had to assemble electronics all day every day, I would probably consider suicide too. For me, boredom is worse than physical pain in many ways.
post #6 of 10
Quote:
Originally Posted by ascii View Post

I feel so sorry when I see the photos of Chinese ladies assembling computers etc.

Intellectually I know that factory jobs are the historically proven way to move an economy from rural to service-based. UK and US had factory towns like Foxconn in the 17/1800s. So I am lucky in that my ancestors went through this so I don't have to.

But non-intellectually, on a personal level, if I had to assemble electronics all day every day, I would probably consider suicide too. For me, boredom is worse than physical pain in many ways.

They have both boredom AND physical pain. Factory work is insane, though I guess assembling iPhones is at least less toxic then making metal or chemical manufacturing and probably less boring. I think it's a little better then farming in my view, especially if you don't have a tractor.

Also if apple is not paying more how can FOXXCON afford to pay 20% more? Surely the owners are not gonna take a pay cut.
--SHEFFmachine out
Da Bears!
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--SHEFFmachine out
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post #7 of 10
Quote:
Originally Posted by ascii View Post

I feel so sorry when I see the photos of Chinese ladies assembling computers etc.

Intellectually I know that factory jobs are the historically proven way to move an economy from rural to service-based. UK and US had factory towns like Foxconn in the 17/1800s. So I am lucky in that my ancestors went through this so I don't have to.

But non-intellectually, on a personal level, if I had to assemble electronics all day every day, I would probably consider suicide too. For me, boredom is worse than physical pain in many ways.

Before the US became a non-manufacturing economy :/ , I worked in a factory doing physically numbing, repetitive work. My mind wandered so much I found the dreadful work I performed would disappear from my memory at the end of the work day. I swore to better myself and never work in a factory again.

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Proud AAPL stock owner.

 

GOA

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post #8 of 10
Quote:
Originally Posted by SpamSandwich View Post

Before the US became a non-manufacturing economy :/ , I worked in a factory doing physically numbing, repetitive work. My mind wandered so much I found the dreadful work I performed would disappear from my memory at the end of the work day. I swore to better myself and never work in a factory again.

Good on you for making the effort. These poor folks, I suspect even if they are willing to push themselves, the better jobs just aren't there.
post #9 of 10
Quote:
Originally Posted by SpamSandwich View Post

Before the US became a non-manufacturing economy :/ , I worked in a factory doing physically numbing, repetitive work. My mind wandered so much I found the dreadful work I performed would disappear from my memory at the end of the work day. I swore to better myself and never work in a factory again.

When the alternative may be bending over all day, shuffling knee deep through a rice paddy - afterwards going home to a drafty hovel and a meager meal - the factory might not seem so unattractive. I don't think very many of us on this thread (me included) truly understand the typical Chinese worker's daily existence, but we can be certain it's a far cry from American suburbia.

I admit to being a Fanatical Moderate. I Disdain the Inane. Vyizderzominymororzizazizdenderizorziz?

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I admit to being a Fanatical Moderate. I Disdain the Inane. Vyizderzominymororzizazizdenderizorziz?

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post #10 of 10
While it's true that this work is probably preferable to working the farms (many interviews with these workers have quoted them saying that they'll never go back to the farm), it's not just the pay (about 75 cents an hour) that's the problem.

It's the fact that many have to work 12-hour days, 6-7 days per week, aren't permitted to sit (they can't provide stools?) and aren't permitted to talk while on the manufacturing line. And while the factory may have facilities, they have to live in a crowded dormitory and aren't really living an independent life.

What's even scarier is that Foxconn is reportedly talking about moving the factory to a region of China where they think potential employees would be more receptive to the lousy working conditions. If that's accurate, they're just going to put a few hundred thousand Chinese out of work? The costs of operating a factory in China are so low that they consider this affordable?

While statistically, the suicide rate is lower than the overall suicide rate in the U.S., it's certainly not lower than the suicide rate among people who have a common association.

Apple and other wealthy companies have an obligation to do more to make sure these workers are treated fairly. Otherwise, instead of being seen as western companies helping the Chinese achieve a middle-class life, this is going to be seen historically as "poor Asians working so that rich white Westerners can have their silly toys."
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