Tencent Technology News, June 11, Recently, overseas organizations claimed that Foxconn Group's factory for the manufacture of smart speakers for Amazon has the phenomenon of exploiting workers. According to the latest news from foreign media, the Foxconn Group responded that it has started an investigation.
Several years ago, Foxconn Group's factories in Shenzhen and other cities had successively erupted workers' jump-jumping news. This sparked public opinion in the world. Foxconn Group later took security measures, increased employee salaries and benefits, and increased entertainment facilities. Similar news gradually subsided.
According to Reuters, a labor rights organization in New York, USA, recently stated that the Foxconn Group's factory in Hengyang, Hunan Province, produces smart speakers for Amazon. The organization conducted a nine-month investigation and found that the factory had too long working hours, low wages, insufficient training, and other dispatch workers or temporary workers who violated China’s labor laws.
On Sunday, the Foxconn Group stated in a statement to the media that the group is conducting a comprehensive investigation of the areas mentioned in the report. If the content is true, it will immediately take measures to ensure that the plant operations comply with Foxconn's code of conduct.
Foxconn Group is the world's largest consumer electronics foundry, mainly for Apple's mobile phones, tablet computers, but Foxconn also has a large number of technology customers, including Amazon, the above-mentioned Hunan factory also produces Amazon's Kindle reader.
The above labor organization stated that in the survey, they found that 40% of workers at Foxconn's Hengyang plant were dispatch workers, which exceeded China’s legal limit of 10%. It is alleged that dispatched workers’ normal working hours and overtime wages are the same as those of ordinary workers, but relevant laws and regulations require dispatched workers to earn higher wages than ordinary workers.
According to the survey report, the hourly wage for workers dispatched by the Hengyang factory was 14.5 yuan (about 2.26 US dollars). At the peak of production tasks, the factory workers need to work more than 100 hours a month, exceeding the legally mandated 36-hour limit. In addition, some workers have worked for 14 consecutive days.
Since this factory produced Amazon equipment, Amazon also responded. The company said that in March it had audited the Hengyang factory. At that time, it was found that the working hours were too long and the use of dispatchers was a problem. These phenomena have triggered Amazon's concerns.
Amazon said that at the time, Amazon immediately asked the Foxconn Group to take corrective measures. Amazon will observe whether the Foxconn Group complies with the Amazon Supplier Code of Conduct. The company will ensure that these labor problems are resolved.
It should be pointed out that the Foxconn Group has long been engaged in the foundry business and is at the low end of the value chain. Apart from its meager profit margin, it also brought a lot of sweatshop disputes to the company.
Foxconn Group has fully embarked on the road to transformation and began to weaken its foundry business and strengthen its brand business and high-tech business.
Foxconn acquired Sharp Corporation of Japan and launched Sharp-branded televisions and smart phones. Foxconn has recently acquired Sharp's notebook computer business through Sharp and will launch a Toshiba-branded personal computer. In addition, Foxconn Group also cooperated with Finnish HMD to operate the Nokia brand mobile phone business.
Foxconn also began to pursue high-tech and high-profit business. After obtaining Sharp's excellent LCD technology, Foxconn began building large-scale LCD panel factories in Guangzhou, China and Wisconsin, USA, in preparation for expanding the production of LCD TVs.
Recently, a Foxconn Group subsidiary in the Internet of Things has also successfully listed on the Shanghai Stock Exchange. This also shows that Foxconn Group is saying farewell to a simple foundry and developing into a comprehensive high-tech company.