Labour's exodus hits iPhone capacity in Foxconn
Labour's exodus hits iPhone capacity in Foxconn
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BEIJING: Foxconn is trying to limit the effects of the COVID-19 lockdown imposed by Zhengzhou local authorities, which will provide a one-time 500 yuan (US$70) subsidy to workers who leave the premises due to the coronavirus if they agree to return to work. offer. Foxconn Zhengzhou is the world's largest iPhone factory.

The Foxconn division in charge of making the iPhones announced Monday that "care and love" compensation was a "pre-hiring" offer because employees could not return to premises until the local government's seven-day lockdown is lifted on Wednesday this week.

When the lockdown is lifted in the Zhengzhou Airport Economic Zone, where Foxconn is located, workers who fled the premises between October 10 and November 5 have been instructed to register with nearby labor agencies if they wish to return. Get it done Foxconn will arrange transportation to bring them back to campus "in a point-to-point, closed-loop manner."

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This came after an announcement by Apple on Sunday that the Zhengzhou facility was "operating at significantly lower capacity", leading to lower than anticipated shipments and extended delivery times for the iPhone 14 Pro and iPhone 14 Pro Max models. Gone.

Without going into more detail, Foxconn, formerly known as Hon Hai Precision Industry Co., announced on Monday that it was "revising" its fourth-quarter outlook due to the pandemic affecting some of its operations in Zhengzhou. "Will do. The most recent statement changed the tone made ten days earlier, saying that production was largely stagnant.

In response to a local COVID-19 outbreak in Zhengzhou, Foxconn Zhengzhou, which employs about 300,000 people, has been using a closed-loop production system since mid-October. The business asked employees to eat in their dorm rooms after closing down the premises' dining areas. Last week, canteens reopened with a small amount of seating.

Foxconn employees began leaving the facility more than a week ago due to fears of contracting the virus and concerns about the quality of the food served there. Videos of departing workers erecting fencing and crossing fields with luggage were posted on social media.

In response, Foxconn increased the daily bonuses paid to employees who stayed in the yuan to 400%. With additional initiatives such as step-up testing and sanitation efforts, the provincial Zhengzhou government increased its support for Foxconn's closed-loop production model, which is the company's largest employer and exporter for the region's economy.

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The number of employees leaving Foxconn is not known for certain. Foxconn is also looking for part-time employees, offering 30 yuan an hour wage until February 15, 2023, which is the standard pay for the factory's peak production season.

Foxconn has a history of offering former employees more money and raising part-time rates during busy times. For example, a recruitment notice published in August 2022 offered a 600 yuan monthly subsidy to Foxconn workers with prior experience if they returned and worked for more than nine months.

Last Friday, employees complained about the mail cords not being cleaned and disinfected. The Post reported last week that some people opted to stay overnight on factory floors near assembly lines instead of going back to their dormitories because they could contract the virus from coworkers who tested positive.

The number of confirmed cases at the factory has not been disclosed by Foxconn or the local government.

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On Sunday, the health department in Henan province reported 42 confirmed cases of COVID-19, 41 of which were in Zhengzhou. Of the 264 asymptomatic cases, 256 originated in the city.

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