In what appears to be a response to a recent run of investigations by the Fair Labor Association, Foxconn’s Chairman Terry Gou has vowed to increase factory worker’s salaries and shorten excessive overtime hours. As exciting as this reform may sound to some, Foxconn’s employees aren’t as thrilled as you might think. Gou said Foxconn will build a new facility in Hainan, China by the end of this year and will expand its operations in Brazil in an effort to carry out its plans to reduce heavy workloads.
“We are a saying now in the company, ‘you work fewer hours, but get more pay’,” Gou explained to Reuters. “We won’t stop here and will continue to increase salaries.”
Apple and Foxconn recently reached an agreement to improve working conditions for the 1.2 million factory workers who assemble iPhones, iPads and other Apple products. In addition to expanding its operations, there are also plans to hire tens of thousands of new workers to eliminate illegal overtime and meet new safety protocols. There’s also a rumor that Foxconn will need to hire an additional 20,000 workers to meet iPhone 5 demand.
Foxconn manufactures and supplies about half of the world’s consumer electronics, Reuters said.