Foxconn plant could see iPhone production drop by 30 percent after protests

Worker unrest at Foxconn’s factory in the Chinese city of Zhengzhou could reduce iPhone production by at least 30 percent, a person with direct knowledge of the matter told Reuters on Friday. The estimate was an upward revision of an October internal forecast for a production impact of up to 30 percent at the world’s largest iPhone factory, said the source, who asked for anonymity because the information is private.

Following worker unrest at the plant this week, the source said, it was “impossible” for the company to resume full production by the end of the month – a deadline it had set internally before Wednesday’s wave of protests .

Foxconn declined to comment.

Earlier on Friday, Reuters informed of that more than 20,000 workers, most of them new employees who were not yet working on the production line, have left Apple supplier Foxconn’s Zhengzhou plant in China, citing a Foxconn source familiar with the matter. The person said the departures would complicate the company’s previous target of resuming full production by the end of November, following labor unrest that hit the world’s biggest production facility. iphone factory.

Foxconn has apologized for making a pay-related “technical error” when hiring new recruits, which workers say was a factor that led to clashes with security personnel.

Labor unrest that began on Wednesday at the Zhengzhou plant marked rare scenes of open discontent in China, which workers say were fueled by claims of overdue wages and severe frustration. COVID-19 Sanctions.

Meanwhile, a second Foxconn source familiar with the matter said some freshmen had left the campus, but did not say how many. The person said the departures had no impact on current production, as new employees were still required to take training courses before working online.

Foxconn launched a hiring drive earlier this month promising bonuses and higher salaries after implementing measures to contain the spread of COVID-19 in October. The restrictions forced the company to self-isolate many employees, and conditions at the plant prompted many to flee.

© Thomson Reuters 2022