updated 11:15 am EDT, Thu April 5, 2012
Attracting, retaining talent main concern
Apple's primary supplier, Hon Hai -- better known as Foxconn -- is "significantly" raising wages for Taiwanese workers, a Hon Hai spokesman tells the Wall Street Journal. The raise will take effect in July, and affect roughly 10,000 people at the company's headquarters, most of whom work on research and development, marketing, and business planning. The spokesman, Simon Hsing, says Hon Hai still hasn't decided on the exact size of the salary hike, but that the company wants to better attract and keep talent.
Hon Hai's Taiwanese labor force is notably distinct from that in China, where hundreds of thousands are employed in assembly-line jobs. That group had basic salaries raised on February 1st, as Hon Hai and Apple came under increasing fire for poor working conditions at Chinese factories. Activists have highlighted problems like low wages, excessive overtime, and serious safety concerns, which were recently validated by a Fair Labor Association report.