China: Electronics giant Foxconn says hiring again
The Taiwanese technology giant, Apple's main supplier, will start hiring new employees.
REUTERS - Ann Wang
Text by: RFI Follow
2 mins
Foxconn is trying to move forward after clashes at its central China factory less than two weeks ago over wage and working conditions issues.
The Taiwanese technology giant, Apple's main supplier, will start hiring new employees.
In the meantime, this episode leaves traces in the performance of the company.
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The group assured working with the authorities to ensure safe production and "
make every effort to protect
" the rights and interests of employees.
Foxconn says it is moving gradually towards restoring normal production capacity.
This therefore involves recruitment – the number of which we do not know – it also involves a reassignment of production to different factories.
Production stalled in November with sales down more than 11% year-on-year, nearly 30% compared to October.
Foxconn remains vague on its outlook for the third quarter.
The Taiwanese giant is content to say that they are roughly in line with the market consensus.
Some analysts predict up to 20% drop in sales.
►Also listen:
Violence at the Foxconn factory in China: "There is a fed up on the part of the population"
Diversification efforts
The group had confirmed on November 23 "
violence
" in its factory in Zhengzhou, in central China, the largest iPhone factory in the world.
Employees complained about problems with wages and their working conditions.
Foxconn, most of whose factories are in China, had attributed these difficulties to “
an error in data entry in the computer system
”.
A few days later, a wave of historic demonstrations took place in a dozen cities in China to challenge Beijing's "zero Covid" policy and demand more freedom.
Health rules have since relaxed in more and more Chinese cities, including Beijing and Shanghai.
►Also read:
China: despite the partial lifting of health restrictions, caution remains in order
This episode again shed light on Apple's strong exposure to China although it has declined since the start of the pandemic.
While it seems unlikely that the Apple brand will be able to do without China in the short term, diversification efforts are continuing.
Foxconn, for example, intends to quadruple the workforce of its iPhone factory in India in two years.
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