After labour unrest, Apple supplier Foxconn makes effort to recruit workers
Foxconn
Efforts are being made by Apple supplier Foxconn to recruit workers after labour unrest at the iPhone factory in China.Employees are being offered a CNY1,000 award if they are successful in referring a family member or a friend to work at its plant in Zhengzhou, China.The step has been taken after footage showing angry protests at the world's biggest iPhone factory was widely circulated online last week.
A warning was issued by Apple stating that new iPhone 14's shipments can be delayed because of Covid restrictions.
Foxconn employees will receive CNY500 after referring a new recruit if the referred person works in the company for 15 days. They will be given another CNY500 if the recruit continues to work for the company for a month, as per a message forwarded on messaging app WeChat.
Foxconn apologised last month for facing a "technical glitch" in making payments after protests broke out in the factory in the Chinese city of Zhengzhou over overdue pay and Covid restrictions.
The announcement was made after viral videos showed workers, in huge numbers, fighting with security staff. In October, a video surfaced showing workers jumping the fence after they were forced to stay in lockdown inside the facility due to the Covid outbreak.
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New workers were then recruited by the company with the offer of generous bonuses.
According to analysts, the Covid lockdowns and protests have majorly impacted the iPhone production, before the holiday shopping season.
Investment firm Wedbush Securities' Dan Ives said, "What started out a month ago as 3% iPhone 14 Pro shortages grew to 5% last week and now are roughly 10%+ of overall units with the potential to increase over the coming month depending on any production improvements from Foxconn."
The economic growth of China has suffered due to the global economy's slowdown and zero-Covid policy.
(With inputs from agencies)
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