logologologologo
  • Home
  • Business
  • Markets
  • Exchange
  • Investment
  • Personal Finance

Foxconn Offers Staff $1,400 to Leave After iPhone City Violence

Foxconn Technology Group has begun offering 10,000 yuan ($1,400) to any workers who choose to leave, an unusual decision intended to appease disgruntled new hires who played a central role in violent protests that rocked the world’s largest iPhone factory.

Apple Inc.’s main global production partner said in an online notice the sum, to be paid out in two installments, will help smooth the journey home for employees. Many of the 200,000-plus workers at Foxconn’s main plant in Zhengzhou hail from elsewhere in the province or country. But the intent was also to usher out recent employees that the local government helped recruit, many of whom fueled tensions among the ranks. The company will replace departing staff, though it may take time.

The payout, which in general exceeds a month’s wages for Foxconn’s blue-collar staff, is likely to placate some employees who on Wednesday staged a rare violent protest that trained a spotlight on the economic and social toll of Xi Jinping’s Covid Zero strategy. Hundreds of workers clashed with security personnel in the early hours as tensions boiled over after almost a month under tough restrictions intended to quash a Covid outbreak.

One factor behind the unrest is that workers found out they wouldn’t receive higher wages they had been promised unless they stayed at the factory through March. The 10,000 yuan payment would compensate people unhappy with that restriction for their travel back home. A computer glitch also didn’t help. Foxconn apologized Thursday for an “input error” that may have made it seem like some staff were paid less than promised, adding it would stand by contractual obligations.

Mounting dissatisfaction among Foxconn’s ranks threatens to further disrupt production at a plant that cranks out the majority of Apple’s marquee devices for shipment around the world. The US company has already warned it will ship fewer devices than anticipated during the critical holiday quarter, while wait times for iPhones have ballooned in some cases to after Christmas.

“We have Apple team members on the ground at our supplier Foxconn’s Zhengzhou facility,” the US company said in a statement. “We are reviewing the situation and working closely with Foxconn to ensure their employees’ concerns are addressed.”

Workers streamed out of dormitories in the early hours of Wednesday, jostling and pushing past the white-clad guards they vastly outnumbered. Several white-suited people pummeled a person lying on the ground with sticks in another clip. Onlookers yelled “fight, fight!” as throngs of people forced their way past barricades. At one point, several surrounded an occupied police car and began rocking the vehicle while screaming incoherently.

The protest started overnight over unpaid wages and fears of spreading infection. Several workers were injured and anti-riot police arrived on the scene to restore order.

The plant had resumed normal operations by Wednesday evening, Foxconn said in a statement. But the protests underscored how Xi’s policy, which relies on swift lockdowns to stamp out the disease wherever it pops up, is increasingly weighing on the economy and throwing swathes of the global supply chain into disarray.

The Foxconn situation serves up another reminder of the dangers for Apple of relying on a vast production machine centered on China at a time of unpredictable policy and uncertain trade relations.

Beijing recently issued new directives ordering officials to minimize disruption and use more targeted Covid controls, but surging outbreaks in major cities have forced local authorities to reach for strict curbs again.

Hours after the Zhengzhou violence, the local government announced “mobility controls” over parts of the city through to Nov. 29 — an effective lockdown that could hamper efforts to recruit new workers to replace those who leave.

“Media reports indicate the protests were not outside the production facilities,” Morgan Stanley analysts wrote. “Hence, we expect production operations should be able to continue. The company maintains a target of full operation at its Zhengzhou Park by the end of November.”

Source: finance.yahoo.com

Related posts

March 24, 2023

TikTok CEO fails to convince Congress app is safe


Read more

Categories

  • Business
  • Content
  • Crypto
  • Exchange
  • Inflation
  • Investment
  • Markets
  • Personal Finance
  • Technology
  • Uncategorized

Archives

  • March 2023
  • February 2023
  • January 2023
  • December 2022
  • November 2022
  • October 2022
  • September 2022
  • August 2022
  • July 2022
  • June 2022
  • May 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021

Recent Posts

  • TikTok CEO fails to convince Congress app is safe
  • Deutsche Bank and UBS shares hit as banking fears keep tight grip
  • SEC sues Tron founder Justin Sun, Lindsay Lohan, other celebrities over crypto sales
  • Employees are checked out at work more than at any time in history — and it makes no difference if they work from home or not. Here’s why
  • Rolls-Royce ‘Wraith Black Arrow’ marks end of V12 coupe era

About Us

The Alpha Cut a Vida Street LLC Company
1404 N. Ronald Reagan Blvd.
Suite 1120
Longwood, FL 32750

Link

(843) 256-4375
https://thealphacut.com

Why Us

Terms & Privacy
Policy & Procedure
Disclaimer

This material is not an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only.
Any performance results discussed herein represent past performance, not a guarantee of future performance, and are not indicative of any specific investment. Due to the timing of information presented, investment performance may be adjusted after the publication of this report. There can be no assurance that the future performance of any specific investment, investment strategy, or product made reference to directly or indirectly in this communication will be profitable, equal any corresponding indicated historical performance levels or be suitable for your portfolio.
All data in this communication is provided for informational purposes only and is not intended for trading or investing purposes. We expressly disclaim the accuracy, adequacy, or completeness of any data and content provided by financial exchanges, individual issuers, their respective affiliates and business partners and shall not be liable for any errors, omissions or other defects in, delays or interruptions in such data, or for any actions taken in reliance thereon. You agree not to copy, modify, reformat, download, store, reproduce, reprocess, transmit or redistribute any data or information found herein or use any such data or information in a commercial enterprise without obtaining our prior written consent.
We make no express or implied warranties or representations and shall have no liability whatsoever with respect to any data contained herein. The data may not be further redistributed or used to create indices or other financial products. This report and the views expressed herein are subject to change at any time based upon market or other conditions (such as domestic and global economic trends) and are current as of the date of publication hereof. The information, analysis, and opinions expressed herein are for general information only and are not intended to provide specific advice or recommendations for any individual or entity.
We emphasize that Investment in the securities of smaller companies can involve greater risk than is generally associated with investment in larger, more established companies, and can result in significant capital losses that may have a detrimental effect on the value of your investments.
Forecasting represents predictions of market prices and/or volume patterns utilizing varying analytical data. It is not representative of a projection of the stock market, or of any specific investment.
Nothing contained in this material is intended to constitute legal, tax, securities or investment advice, nor an opinion regarding the appropriateness of any investment. The general information contained in this publication should not be acted upon without obtaining specific legal, tax and investment advice from a licensed professional.
Please remember that all investments carry some level of risk, including the potential loss of principal invested. They do not typically grow at an even rate of return and may experience negative growth.As with any structuring of a portfolio of investments, attempting to reduce risk and increase return could, at certain times, unintentionally reduce returns.
The information, analysis and opinions expressed herein are for general, impersonal information only and are not intended to provide specific advice or recommendations for any individual entity.

copyright © Alpha Cut 2021. All Right Reserved
The Alpha Cut a Vida Street LLC Company