Foxconn iPhone factory offers incentives for employees to stay longer
Foxconn iPhone factory offers incentives for employees to stay longer
Share:

BEIJING: As plants scramble to fill peak season orders following a worker exodus three weeks ago, the world's biggest iPhone factory, operated by Foxconn Technology Group in the central Chinese city of Zhengzhou, announced fresh incentives for contractors. have announced that they are willing to continue on the job. 

The factory's iPhone production unit has promised a "retention bonus" of up to 8,000 yuan (US$1,100) for contractors who agree to continue working until March 6, according to a post on the unit's official WeChat account on Friday. 

The notice states that the policy is applicable only to part-time employees who are already employed in the factory and that those directly employed in construction will be paid higher wages.

Also Read: Indonesia: GoTo lays off 12% of its workforce

The iPhone unit also announced in another WeChat post that the company will reward between 3,000 and 10,000 yuan in December to full-time and part-time employees who meet specific working day requirements.

According to state media, 100,000 workers are needed for the complex to resume full production capacity this week. The campus has been facing a labor shortage since a large number of workers left earlier this month due to concerns about the transmission of Covid-19 and the lockdown.

Peak season for Foxconn typically falls in the final months of the year as Apple prepares for increased demand from holiday shoppers in its two major markets, the US and Europe. At this time of year, the Zhengzhou plant typically employs 300,000 people, many of whom are contractors and part-timers.

Apple issued a warning last week that the Foxconn factory is "operating at significantly reduced capacity," which could delay shipments of the iPhone 14 Pro and 14 Pro Max models.

Also Read: Nvidia and Microsoft are collaborating to create a 'massive' cloud AI computer using thousands of GPUs

Foxconn has a history of compensating employees for long hours, especially during peak hours. It provided bonuses of up to 8,000 yuan to employees who stayed for more than 90 days in September.

In response to the mass exodus, the plant quadrupled its daily "attendance bonus" to 400 yuan in November, bringing total payments to more than 15,000 yuan at the end of the month.

Local governments have also joined the recruitment drive, encouraging local cadres and former PLA members to work at Foxconn, a significant employer and taxpayer in central China's Henan province.

However, despite Foxconn's strict attendance and performance standards, two workers who left the campus late last month and asked to remain anonymous said they were not tempted to return because they believed the real bonus Will be less than promised or may come later.

He also expressed concern about some workers being forced to live in dorms with co-workers who tested positive for COVID-19.

However, it did not make any difference to many other job seekers.
Foxconn halted hiring from Thursday to Saturday after an overflow of new hires exceeded its quarantine capacity, according to local recruiting agents.

Also Read: Hardcore' or bust: Elon Musk issues an ultimatum to Twitter employees

Since mid-October, the factory in Zhengzhou has been operating in a closed-loop mode that keeps employees on campus. Before reaching the assembly lines, job candidates must also pass a health test and spend time in quarantine.

The outbreak of COVID-19 at the facility has not been disclosed by Foxconn or the local government. On Friday, Henan health authorities confirmed 186 cases, of which 182 originated in Zhengzhou Of the 1,412 asymptomatic cases, 1,385 originated in Zhengzhou.

Join NewsTrack Whatsapp group
Related News