Printed from http://www.electronista.com

Foxconn denies taking Apple subsidy for workers

updated 07:40 am EDT, Fri July 16, 2010

Foxconn says any wage hikes its own, not Apple's

Foxconn today denied claims that Apple is subsidizing workers. An executive reportedly told Taiwan's National Business Daily that the American company not only isn't paying a two percent subsidy on labor costs but has never received such a subsidy. The rumor is 'purely speculation,' the official said.

Rumors had circulated that Apple was paying extra after word of a rash of suicides, but Foxconn later raised wages itself to both address financial pressure to work overtime and to avoid using the family benefit payout from a suicide as an incentive. The contractor later stopped paying for suicides to eliminate the motivating factor.

Factories in and near Foxconn's manufacturing base of Shenzhen have often been a focus of work rights advocates, as workers are often paid little but encouraged to work multiple hours of overtime, often extending to six days a week. Apple is just one company using Foxconn as Dell, HP, Sony and others use it for some of their goods.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

Razer Kraken Pro headset

Gaming headphones are a challenge to get right, for a long list of reasons that are unique to the consumer buying them. Some shoppers ...

Patriot Aero Wireless Mobile Drive

Regardless of how large a tablet you buy, you always want more space. There's always one more movie or another album you'd cram on, if ...

Patriot Fuel+ 6000 and 9000mAh batteries

Mobile device batteries are better than they used to be, but there's always a scenario where users could use more juice. Upgrade manuf ...

Sponsor

toggle

Most Commented

 
toggle

Popular News