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Behind Foxconn’s problems in China: mistrust, miscommunication, and limiting the spread of the coronavirus

by John Pierce
July 3, 2023
in Business
3 min read
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When Hou was approached by officials from his Chinese village last month, urging him to do so work In the world, the largest iPhone manufacturer for at least twice The usual fare, he felt risky.

tens of thousands of The workers fled from the factory in Central China in In the past weeks, violent protests have erupted over COVID-19 lockdown and confusion over Employment bonuses.

But he, 24, who Only his identity was requested by him family Name, he told Reuters took The job at Foxconn’s Zhengzhou factory, Apple’s largest iPhone maker, yields 70% of iPhones worldwide.

The crisis can reduce production for A source at Foxconn told Reuters that November in the plant by at least 30% on Thursday a development which has hit An apple share price.

The factory is owned by Taiwan-based Foxconn, which has been hit by China’s strict restrictions related to COVID-19 and facing critical year-End holiday demandIt offers attractive bonuses and excellent wages.

He said he got a promise up to 30,000 yuan ($4,200) for just less than four months work Much higher than the 12,000-16,000 yuan Foxconn workers usually get for four months.

But he said he did not bargain on spell for 10 days in Quarantine and sudden notification that the staff will have to do work An additional month before receiving their employment bonus.

He and two other workers told Reuters that such grievances led them to confront Foxconn management at the plant – city of more From 200,000 employees – leading to sporadic clashes made Headlines around the world.

In a rare example of widespread labor unrest in China, Foxconn workers in COVID-19 masks have battled with Safety personnel in White Hazardous Materials suits plastic hold shields. Some protesters smashed surveillance cameras and windows with sticks.

In addition to challenges of Save factory lines operating under a closed circuit system Under the mandate of Beijing zeroCorona virus disease policy – The requirement to isolate workers from the wider world Foxconn disorder also exposed connection problems and lack of trust among workers of Management is at Apple’s best resource.

“Nothing they said counts for Anything,” Hu said from his hometown after receiving the 10,000 yuan compensation offered by Foxconn on Thursday to protest the workers who He agreed to leave.

fancy who I worked in Jobs such as sales and was told there was no factory experience It was necessary, ever made to the production line.

was my life worth more”

Five other workers said at the time that they were scared because Foxconn was starting to turn to the coronavirus people to vacant housing project Without revealing the injuries, she told the workers to eat in their dormitories instead of Company canteens but then failed To separate infected workers from others.

Foxconn declined to me comment on Allegations he and other workers, referring to Reuters past formulations.

The company has previously apologized to the workers for A related to “technical” wages errorShe said it happened during recruitment. She did not say why she was paid people Leaves soon After promising them to hire bonuses.

In late October, after the scenes of Runaway workers began trickling in outFoxconn said it was bringing the situation under control and coordinating with other factories to increase production.

if it was problems It will last until December cost Foxconn and Apple output of About 10 million iPhones, which is equivalent cutting iPhone shipments down 12% in the fourth quartertold KGI Securities analyst Christine Wang.

Foxconn managers said the company was arrested in Tough situation, it must be speed up Shipments during Apple’s most critical holiday season while following local government’s strict COVID-19 guidelines.

“It was the busiest time of The year said a senior Foxconn officialadding that the outbreak of COVID-19 in Oct on The company was taken over by Zhengzhou Campus off guard f triggered “Mess.”

“There was pressure for Everyone, incl for the local government,” The official He said, referring to the local authorities rushing to help Hire replacement workers.

What happened in the factory was a “recap” of What companies face Under China’s strict COVID-19 policy, production lines will be pushed forward out of China is bigger speed,” The official He said.

Marina Chang, associate professor in the University of The Institute of Technology Sydney’s Australia-China Relations said Foxconn’s troubles sent a message to companies trying to keep Chinese operations running and keep workers COVID-free. in Line with national policy.

“A company’s internal communications can be completely overpowered, and overpowered social media “They’re losing,” Zhang said power to me social media – number one He will listen to them.”

One of the workers, Faye, said he was afraid catching COVID-19 and felt anxious about survival on for two more weeks to claim a bonus for completing His contract is for three months. He said he eventually crawled out out through hole in green metal fence

“In the end, I decided that my life was like that worth more. “

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