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Tag: Foxconn

  • FLA And Apple Conduct Audits Of Final Assembly

    Today, Apple announced that the Fair Labor Association will begin conducting a series of special audits at Foxconn’s Chinese final assembly plants. Per Apple’s request, the FLA will be inspecting plant safety, process documents, factory and dormitory conditions, working hours, and management practices. The inspections will encompass Foxconn facilities in Shenzhen and Chengdu, China where nearly 90% of Apple products are assembled.

    Apple CEO, Tim Cook comments on the audits:

    “We believe that workers everywhere have the right to a safe and fair work environment, which is why we’ve asked the FLA to independently assess the performance of our largest suppliers,”

    “The inspections now underway are unprecedented in the electronics industry, both in scale and scope, and we appreciate the FLA agreeing to take the unusual step of identifying the factories in their reports.”

    Since 2006, Apple has regularly performed audits of their manufacturing partners facilities, but the current FLA partnership appears to be motivated by recent claims of abuse at the Foxconn factories in China and a rising call for action by supporters of the Apple brand.

  • Hackers Ramp-Up Production At Foxconn

    Hackers Ramp-Up Production At Foxconn

    Hackers calling themselves Swagg Security have infiltrated Foxconn’s computer systems and created havoc with production schedules and quotas. Taking advantage of an internet vulnerability, the group was able to gain access to usernames and passwords for many people within the company and their supply chain. Swagg security offers the names and passwords up to outside users and encourages them to place orders of their own. Here’s a segment from their declaration:

    “So Foxconn thinks they got ’em some swagger because they work with the Big Boys from Intel, Microsoft, IBM, and Apple? Fool, You don’t know what swagger is. They say you got your employees all worked up, committing suicide ‘n stuff. They say you hire chinese workers ’cause you think the taiwanese are elite. We got somethin’ served up good…real good. Your not gonna’ know what hit you by the time you finish this release. Your company gonna’ crumble, and you deserve it”.

    Apparently the hackers are big fans of Apple products and take a “slight ” interest in Foxconn because of their affinity for the iPhone, but it is not their overarching purpose:

    “…we are not hacking a corporation for such a reason and although we are slightly interested in the existence of an Iphone 5, we are not hacking for this reason”

    What is the real reason for their mischief?:

    “We hack for the cyberspace who share a few common viewpoints and philosophies. We enjoy exposing governments and corporations, but the more prominent reason, is the hilarity that ensues when compromising and destroying an infrastructure.”

    So mainly, these guys are just in it for the thrill of the hunt. Their slogan is, “Hacking Today for an Entertaining Tomorrow”. They would like to viewed as entertainers. I like it! Anyhow, they do admit that their work, “..reveals an almost unknown feeling of a menacing satisfaction”. But also admit that, “Of course with funding ourselves we did have our limitations”.

    Despite their limited funding, they imply that we can expect to see more works from them and they will persist and “encourage not to continue quelling such a natural emotion but to embrace it”. Good to hear from the guys at Swagg Security (and Hacking).

  • Is Foxconn Really Helping The Chinese Economy Or Are They Evil?

    There are many who believe that corporations like Foxconn are evil. Apple contracts components from them and they turn around and pinch pennies while their employees are slaving away for long hours, working with hazardous chemicals, taking no breaks, and receiving very little compensation. This is our perspective here in America, isn’t it?

    Images of factory worker abuse have been around since long before any of us were born. If you think about the industrial revolution in America, you will realize that the modern society we enjoy today was built in the backs of exploited factory workers. While it is true that this may not be a necessary evil, it is an evil many societies have had to endure in the name of building a stronger nation.

    Remember when “made in Japan” conjured negative images in our heads? I do, and I don’t believe that is the case anymore. Today, Japan is highly regarded for its machinery and transportation exports. Singapore, Hong Kong, Taiwan, and South Korea have all followed suit and used sweatshop tactics to build their economies. Essentially these nations were hungry and wanted to grow. Some business is better than no business and revenue, regardless of how it’s generated, builds the infrastructure and social programs that characterize a developed nation.

    In china citizens flock to employment agencies to except Foxconn jobs because they are not presented with many other viable options for earning a paycheck to feed their families and keep clothing on their backs. Hopefully, none of us want to see others suffer, but we have been blessed in this country because, our forefathers did the work for us. We have the government resources to protect us from employer abuse because, somewhere along the way, somebody sacrificed so we could have it.

    Since 1979 when China decided to embraced capitalism nearly 600 million people have escaped starvation and poverty by choosing to take employment in sweatshop-like environments. A perfect example is the Chinese village of Shenzhen. They were one of the first areas to embrace China’s economic reforms and to begin growing the economy. Thirty years later it is a city of 10 million people and a hotbed for manufacturing jobs.

    If we take a lesson from history we can conclude that China is progressing very quickly and we may soon begin to see breakthroughs in the way they do business. I think America has a habit of forcing our politics onto other nations before they are ready for them. Sometimes you just need to allow something the freedom to grow and choose its own path.

    Consumers should realize that a forced change over in China will end in one of two ways. Either Apple will pull all of their contracts from China over the labor disputes and Chinese workers will be left with no jobs or Americans will have to suffer tremendous price increases. Is an iPod worth $800-$1200 to you? Will you pay $1600- $2500 for an iPad? That’s what manufacturing in developed nations costs and it will be passed on to the consumer.

  • Foxconn Employee Shares Experiences Working On Apple Products

    Apple has recently come under fire for the reported abuses at their chinese factories operated by Foxconn. As chinese workers come forward with more and more instances of abuse, American have started their own campaign, calling for Apple to take action on behalf of the workers.

    Despite the abuses, many still clamor to Foxconn with hopes of earning a paycheck to help feed their family. Now an 18 year old student has come forward to discuss her experiences at Foxconn building Apple Brand products.

    She reports that her first month at Foxconn consisted of a 60 hour work weeks attaching stickers to the front of iPad screens on an assembly line (doesn’t sound that different from what Americans are doing).

    Under the alias Ms. Chen she describes her work at Foxconn to CNN:

    “It’s so boring, I can’t bear it anymore, everyday is like: I get off from work and I go to bed. I get up in the morning, and I go to work. It is my daily routine and I almost feel like an animal.”

    Ms. Chen is studying to become a biologist so that she doesn’t have to work at Foxconn again. Foxconn e-mailed a statement to CNN addressing the issue of abuse in their factories:

    Foxconn takes our responsibility to our employees very seriously and we work hard to give our 1.2 million employees in China a safe and positive working environment and compensation and benefits that are competitive with all of our industry peers in that location,”

    I sympathize with the chinese people and the horrible abuses and exploitations they have suffered through, but I don’t see Ms. Chen’s story as one of abuse. Many people in developed nations work over 60 hours a week and are bored with their job. This doesn’t constitute abuse claims. She chose to work at Foxconn, they didn’t enslave her there. I am sure she was paid for her work regardless of how meager that pay was.

    Hopefully Foxconn and Apple are taking legitimate steps to improve working conditions in China. I hate to think about the sacrifices early Americans had to make to build up the industry in this country. I think many citizens have forgotten the sacrifices made in the name of our lands. China will continue to grow and evolve economically, it will be interesting to see how they decide to treat their people and make policies to protect them.

  • Apple Worker Protection Petition Gains Momentum

    Communications consultant Mark Shields is an Apple products fan who has decided to do something about the abuse claims at Apple supplier Foxconn’s manufacturing facilities in China. He has drafted a petition asking Apple to release a worker protection strategy for all new product releases.

    Shields is asking Apple to continue their motto of “thinking differently” and transfer that mentality over to protecting the laborers who build their products. In the petition he urges Apple to hear his point of view:

    “….I want to continue to use and love the products you make, because they’re changing the world, and have already changed my life. But I also want to know that when I buy products from you, it’s not at the cost of horrible human suffering.”

    Tim Cook, CEO at Apple claims that apple has made great strides in the fight against work place abuse in China, more than anyone else in the industry. He’s outraged about the claims and denies the incidents are the result of any policies at Apple.

    As perceptions of Apple begin to change in the eyes of consumers, Shields reports that his petition has gathered over 162,000 signatures. Perhaps this petition will be a catalyst for change over in Asia but I have my doubts about whether this is anything more than just a fleeting interest for the American public. The recent abuses at Foxconn are just part of a long heritage of exploits by American companies in foreign lands.

    I believe, and so do those who have signed this petition, that every human being is entitled to safe working conditions at the very least. The down side is, I don’t believe the American consumer is willing to sacrifice low costs for improved worker safety. Don’t be fooled, that’s what it will take to make change in this area. Safety costs time and resources; signing pieces of paper will not get the job done. If Tim Cook was being honest, he would admit that improved safety translates to higher costs and that’s something shareholders will not like.

  • Foxconn Building 5 Brazilian Factories For Apple Products

    At the end of last week we brought you news that the government of Brazil had approved tax incentives that would encourage Foxconn’s production of iPads in that country. Now it seems that the company is planning to build 5 more Brazilian factories.

    According to a report in the Brazilian newspaper Folha (Google translation), the announcement came from the office of Julio Semeghini, Secretary of Planning and Development for the State of São Paulo. Though Foxconn apparently declined to confirm the information, Semeghini said that the country will begin negotiations with the company at the conclusion of the Chinese New Year. The negotiations are expected to deal primarily with the locations of the plants. Some will undoubtedly be in São Paulo, though other Brazilian states may want a share of Foxconn’s investment as well.

    The five factories will each employ around a thousand workers each. They are expected to focus on the production of Apple’s iPad and iPhone, as well as related accessories, manuals, power supplies, and cables. There is no indication of when the factories might come online.

  • Foxconn Hiring, Thousands Clamor For Jobs

    Foxconn Hiring, Thousands Clamor For Jobs

    Chinese manufacturer Foxconn is in the process of doubling their workforce in places like the city of Zhengzhou, and despite all of the recent controversy surrounding working conditions at Foxconn factories, tons of Chinese workers are rushing to grab a job.

    Chinese Apple site Mic Gadget reports that on Monday, thousands of people looking for jobs lined up outside a labor office in the largest city in Henan province, all looking to be hired on at Foxconn.

    They discuss what could be the draw of a Foxconn job:

    Well, these people saw the job advertisement posted by the Zhengzhou government in the city which showed the salary at Foxconn’s Zhengzhou factory is 1650 yuan (US$261) for basic salary, and the salary would be increased to 2400 – 3200 yuan (US$379-$506) after the appraisal. What’s more, workers do not need to pay additional money for dormitory and food. Foxconn incorporates the food and housing allowance into the basic salary. So, this attracted thousands of young job seekers to deliver their resumes to the Foxconn representatives.

    Apparently, the crowd was heavily swayed toward males and most had prior work experience. A smaller subset of the applicants were described as recent college grads.

    Of course, the Apple manufacturer has been the subject of public scrutiny as of late regarding worker conditions inside its factories. Foxconn has been accused of worker abuses, including witholding pay, forcing long hours with no breaks, and providing unsafe conditions. One Chinese executive from a Foxconn parent company raised eyebrows by comparing his workers to animals. Then there are those horrific stories of suicides at the plants.

    Apple has denied that they were aware of these abuses and have stated emphatically that they care about every worker in their supply chain. CEO Tim Cook said that he was “offended” by the allegations, saying “we care about every worker in our worldwide supply chain. Any accident is deeply troubling, and any issue with working conditions is cause for concern. Any suggestion that we don’t care is patently false and offensive to us.”

    But it looks like Chinese workers are lining up in droves for work at the plants. One might think that this hints that conditions might not be as bad as some have reported, but Mic Gadget has some pretty harsh words about the Foxconn factories:

    The long lines at the labour agency may have surprised some, considering the harsh working conditions at Foxconn’s factories. No matter how poor the working conditions are, we can still see lots of Chinese willing to work at the hell factory to assemble the tech gadgets we’re using today. God bless them.

    Foxconn is probably ramping up hiring to deal with the production of new Apple devices like the iPhone 5. Earlier, we told you about an online petition about protecting Chinese workers that has been gaining a hell of a lot of steam on Change.org. With all of the recent news about worker conditions in these factories, it’s safe to say that many Apple lovers will look at the iPhone 5 in a way that they probably didn’t look at their original iPhone.

  • Online Petition Tackles Apple Factory Worker Conditions

    Online Petition Tackles Apple Factory Worker Conditions

    A petition on popular online petition site Change.org is gaining a lot of attention. Washington D.C.’s Mark Shields is petitioning Apple (and specifically CEO Tim Cook) to “Protect Workers Making iPhones in Chinese Factories.”

    In just a few days, the petition has amassed 146,000+ signatures as of the writing of this article, and it’s progressing at an astonishing rate.

    Dear Apple,

    You know what’s awesome? Listening to NPR podcasts through an Apple Airport, playing through a Mac laptop, while puttering about the kitchen. Do you know the fastest way to replace awesome with a terrible knot in your stomach? Learning that your beloved Apple products are made in factories where conditions are so bad, it’s not uncommon for workers to permanently lose the use of their hands.

    For awhile now, Apple has been plagued by a pretty disturbing PR crisis. Conditions inside some of their foreign manufacturing plants have been called into question – especially factories like Foxconn in China. In the past year, we’ve heard reports of mass suicides of workers at Foxconn, and just this month we reported on a mass suicide threat that was just barely avoided.

    Just a couple of weeks ago, the chairman of Hon Hai, parent company to Foxconn, raised some eyebrows when he referred to the workers under his management as “animals.”

    These foreign factories have been accused of numerous abuses, including refusal of pay, a lack of breaks, and improper instruction regarding toxic chemicals. A former Foxconn manager recently spoke out, saying that “Apple never cared about anything other than increasing product quality and decreasing production cost.”

    For his part, Apple CEO Tim Cook has publicly refuted these claims, saying that he takes offense to the notion that he doesn’t care about all the workers under the Apple umbrella:

    As a company and as individuals, we are defined by our values. Unfortunately some people are questioning Apple’s values today, and I’d like to address this with you directly. We care about every worker in our worldwide supply chain. Any accident is deeply troubling, and any issue with working conditions is cause for concern. Any suggestion that we don’t care is patently false and offensive to us. As you know better than anyone, accusations like these are contrary to our values. It’s not who we are.

    Nevertheless, here’s what is demanded by the petition:

    Here are two simple asks (basically taken from the end of the TAL report) that could make a profound difference in the lives of the men and women in your factories and others like them:

    First, in regards to the worker traumas described in the story, ranging from suicide attempts to the people losing the use of their hands from repetitive motion injuries, we ask that Apple release a worker protection strategy for new product releases, which are the instances when injuries and suicides typically spike because of the incredible pressure to meet quotas timed to releases.

    Second, since the TAL story aired, Apple has announced that the Fair Labor Association will be monitoring its suppliers. Awesome step. Please publish the results of FLA’s monitoring, including the NAMES of the suppliers found to have violations and WHAT those violations are, so that there is transparency around the monitoring effort.

    Please make these changes immediately, so that each of us can once again hold our heads high and say, “I’m a Mac person.”

    150,000 signatures in a few days is a highly successful petition. It seems that the issue isn’t just going to go away. It’s hard for people to look at their devices that they rely on and love so much and think about the possible suffering that went into their construction.

    But the real question when it comes to this issue: would people really change their purchasing habits? What do you think? Let us know in the comments.

    [Image Courtesy cultofmac]

  • Apple And Foxconn Face Accusations By Foreign Workers

    Apple And Foxconn Face Accusations By Foreign Workers

    Last year in May Students & Scholars Against Corporate Misbehavior issued a warning against abuses to workers. The abuses cited in the warning include not being paid for hours worked, mandatory extended overtime without breaks, failure to advise workers about how to handle toxic chemicals, paying ridiculously low wages, and various other mistreatments of employees.

    Apple’s standpoint on the abuses can be viewed on their website. Auditing is a regular part of how they do business and they perform regular audits in areas of human rights and environmental impact. Apple also enforces a code of conduct for manufacturing based on standards developed by the “Electronics Industry Citizenship Coalition (EICC), an organization established in 2004 to promote common codes of conduct for the electronics and information and communications technology industry”.

    Li Mingqi, a former manager at Foxconn Technology, one of Apple largest manufacturing partners reports to the contrary about how Apple does business claiming, “Apple never cared about anything other than increasing product quality and decreasing production cost.”

    Allegations like the one’s from above have Apple CEO Tim Cook really pissed off. He refutes the accusations and claims ,”…accusations like these are contrary to our values. It’s not who we are.”

    Cook also defends Apple by reminding Americans of the progress they have made in the area of human rights in foreign manufacturing:

    “Every year we inspect more factories, raising the bar for our partners and going deeper into the supply chain. As we reported earlier this month, we’ve made a great deal of progress and improved conditions for hundreds of thousands of workers. We know of no one in our industry doing as much as we are, in as many places, touching as many people.”

    Cook goes on to say, “What we will not do — and never have done — is stand still or turn a blind eye to problems in our supply chain.”

  • Foxconn’s Brazilian iPad Factory To Begin Production As Government Grants Tax Breaks

    Foxconn will soon begin production of iPads in Brazil, as the country has approved specific tax incentives designed to aid Apple’s popular tablet.

    The Brazilian government will give tax breaks to Foxconn for the production of tablets specified as weighing under 750 grams and lacking keyboards. The taxes that will be affected are the Excise Tax (IPI), Social Contribution Tax (PIS), and Federal Contribution Tax (COFINS)

    Here’s the relevant chunk, as reported by Brazilian newspaper Folha (google translation):

    According to the ministerial decree published Wednesday in the “Official Gazette”, the company will be entitled to the benefits provided for in Decree 5906 of September 2006. The determination provides for exemption or reduction of the IPI (Excise Tax), PIS and Cofins for companies investing in research and development of technology products.

    According to the ordinance today, the rule will apply to tablets with touch screens, no keyboard and weighing less than 750 grams. Also included as accessories, cables, power supplies and manuals that are related to the tablets.

    The expectation is that Foxconn start producing devices – especially the iPad from Apple – the factory in Jundiai, São Paulo.

    The $12 billion deal to bring Apple manufacturing to Brazil hit some roadblocks in 2011. From Foxconn’s end, it was the ridiculous bureaucracy and high tax rates in Brazil that held up production. From the Brazilian government’s end, Foxconn was simply demanding insane tax breaks.

    iPad production was supposed to kick off in July 2011, but these differences of opinion held it back. With the passing of these new incentives, it follows that Foxconn’s Brazilian plant should start pumping out Apple tablets in no time.

    [Via AppleInsider]

  • iPhone 5 Rumor: Foxconn Says It’s Go Time

    iPhone 5 Rumor: Foxconn Says It’s Go Time

    We already know that the iPhone 5 is the most anticipated gadget of 2012, and we’re pretty sure that we’re actually going to get an iPhone 5 this year, so all that remains are the details. Luckily, we’ve got just the thing to sate your rumor appetite.

    According to 9to5 Mac, the iPhone 5 is getting ready to begin production. Based on previous iPhones, this would likely indicate that the device will launch this summer.

    The tip comes from sources inside Foxconn in China. Apparently, these are the same sources that went against the grain when regarding the last iPhone release and said Apple was planning on launching the 4S instead of the expected 5.

    Not only do we get info on a possible production timeframe, but the sources say that multiple sample devices already exist, but they are all different from on another to varying degrees. Although they couldn’t say for certain which of these prototypes will most resemble the final product (if any), they did mention that all of them have certain features. This includes that big 4+ inch screen that everyone has been clamoring for.

    This corroborates other analysts who predicted that the next-gen model would have at least a 4 inch screen. Of course, Apple has been rather stubborn about that 3.5 inch screen size.

    Although some recent report said that the new iPhone will in fact be slimmer than the 4S, it won’t have a teardrop shape according to the Foxconn sources. The teardrop rumor was one of the most prevalent ones preceding the iPhone 4S release.

    Whether or not this proves accurate, we can be assured that the iPhone 5 is going to be one the biggest devices in history. It might even be available on T-Mobile, too.

  • Foxconn: Workers Are Animals

    Foxconn: Workers Are Animals

    Foxconn thinks their workers are animals. No, really.

    Want China Times is reporting that the chairman of Hon Hai, parent company of Foxconn, invited the director of the Taipei Zoo, Chin Shih-chien, to talk about the management of animals. Foxconn, if you remember, is the company that manufactures all those pretty iPads, Xbox 360s and Nintendo Wiis.

    “Hon Hai has a workforce of over one million worldwide and as human beings are also animals, to manage one million animals gives me a headache,” Hon Hai chairman Terry Gou said.

    Gou invited the zoo director to speak at the company’s annual review meeting. He also asked all of the general managers to listen to the lecture. He apparently wanted them to learn how to manage a wide variety of animals and their various quirks.

    While Chin was lecturing, sharing his experiences at the zoo, Gou was attentive and listening carefully. He then asked Chin to put himself in his shoes as chairman which reportedly garnered laughter from the managers.

    Even if the method was unorthodox and demeaning, Want China Times says that Gou was sincere as his company faces a crisis with handling their workers.

    Foxconn has had trouble in the past with worker suicides and worker threats that even reportedly shut down the manufacturing of Xbox 360s during the mass suicide threat last week.

    Want China Times says that China is no longer the cheap labor camp it once was and that companies like Hon Hai and Foxconn will have to work on bettering their work conditions for those workers who won’t take low wages and terrible conditions just to improve their family’s condition.

    With more and more people in the West becoming aware of the sacrifices and conditions that people go through to make shiny new iPads and other gadgets, those changes may come sooner than later.

  • Mass Suicide At Foxconn Barely Avoided

    Foxconn, the Chinese manufacturer of Apple products and game consoles, has had a rough time with worker suicides and reports of bad employee treatment. Well, it just got worse.

    Kotaku is reporting that on January 2, over 300 employees at a Foxconn plant in Wuhan, China threatened to throw themselves off the roof of the building in a mass suicide. The workers manufacture the Xbox 360 console.

    According to the Chinese anti-government Web site China Jasmine Revolution, the workers were denied compensation they were promised.

    On January 2, the workers reportedly asked for a raise. They were told they could either keep their job with no pay raise or quit and get compensation. Obviously, many quit to get the compensation. The agreement was supposedly terminated and the workers never received their payments.

    The mayor of Wuhan was called to the scene to talk the group down. On January 3, the group decided not to jump which ended the whole affair.

    Suicides were a major problem in 2010 with Foxconn installing nets to prevent suicides at some of its facilities.

    This story brings Foxconn and overworked factory employees in China to the forefront again. In our mad dash to get the latest gadgets and have a steady supply of them, we forget to think about those in other parts of the world that make these devices. Hopefully, better employee treatment practices will soon be implemented so everybody can be happy.