Apple and Foxconn agree to hire new workers, cut down on overtime
Apple and Foxconn have strengthened their partnership with the companies agreeing to hire tens of thousands of new workers for Foxconn factories and clamp down on the overtime by existing workers.
The arrangement comes just before the launch of the Fair Labor Association’s report on Foxconn worker conditions, the result of an investigation started out by complaints that Foxconn workers were working large amounts of overtime for low pay and poor conditions.
Foxconn has made an agreement to reduce working hours to a maximum of 49 hours per week including overtime, whilst introducing a compensation arrangement that sees workers keep their current level of salary.
Reuters also reports that the overall result of this will be increased prices for consumers; alongside Apple, Foxconn manufacture parts for major companies such as Sony, Samsung and Motorola Mobility (recently bought out by Google), but the effect on prices won’t be immediate.