Due to numerous concerns, one of Appleâ€™s biggest suppliers, Foxconn Technology Group (also called Hon Hai Precision Industry Co.) has vowed to improve conditions for employees working in factories all over China. The company has roughly around one million employees in China, employees who are in charge of assembling iconic devices such as the iPhone and iPad for Apple.
Now Foxconn has decided to offer substantial raises to its workers. Starting the 1st of August, monthly salaries for entry-level employees in the Zhengzhou factory have been increased from 1,550 Yuan to 1,800 Yuan (which amounts to $283). Also the probation period which enabled workers to ascend to a higher salary base was axed down from six months to only three months. Another special 200 Yuan per month will be added as a bonus to workersâ€™ paychecks during the busiest months of the year â€“ from August to November.
These changes in favor of people working in these factories have been prompted by a scandal Foxconn had to deal with in 2010. Back then, due to poor living and working conditions several people committed suicide in the Shenzen facility. In the aftermath, the company decided to give employees a pay boost, and also installed safety nets all around the worker dormitories.
The Fair Labor Association in Washington took a very particular interest in the case and insisted that Foxconn do something about the working environment within its own factories. Even Apple CEO Tim Cook visited the Zhengzhou factory in March to make sure the measures were being implemented.
Source: Apple Supplier Hon Hai Raises Workers' Salaries, Cuts Probation - WSJ.com