iPhone maker Foxconn says it will raise employee wages

28 May 2010

The Chinese factory which manufactures, amongst other tech products, the Apple iPhone, has said it plans to raise employee wages by an average of 20pc after a spate of deaths at its plant in southern China.

The raise will depend on location but will be around 20pc on average, the vice-president and spokesman at Hon Hai Precision Industry, Foxconn’s parent company, told the Financial Times.

Ten workers have died at Foxconn’s main plant in Shenzhen this year in apparent suicides and two people have been seriously injured.            

The latest death occurred on Wednesday night this week and the Chinese state media agency Xinhua is reporting that an initial police investigation has revealed the death was a suicide.

More than half of the company’s 800,000-strong workforce in China are employed at the Shenzhen plant.

With a young 420,000-strong workforce, who are aged mostly between 18 and 24, and with workers living and working on the same premises with on-site dormitories housed beside the offices and manufacturing plants, there have been reports of long hours, low wages and much overtime at the plant.

Foxconn, founded in 1988, is the world’s largest electronics contract manufacturer and makes most of Apple’s iPhones and iPods, as well as devices for other multinational technology firms, including Sony, Dell and Nokia.

Photo: Foxconn Technology Group is the main manufacturer of the Apple iPhone

Article courtesy of Businessandleadership.com