Foxconn's Labor Practices


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Case Details:
Case Code : HROB141
Case Length : 17 pages
Period : 2006-2010
Pub Date : 2011
Teaching Note : Available
Organization : Foxconn Electronics Inc.
Industry : Electronics Manufacturing
Countries : China

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Please note:
This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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"Foxconn is not a sweatshop."1

- Steve Jobs, Chief Executive Officer, Apple Computer Inc.2 (Apple) on June 02, 2010.

"Suicides among workers are a common problem ... but many factories don't admit it and the families of victims are far away."3

- Li Qiang (Li), Executive Director, China Labor Watch4 on May 25, 2010.

Introduction

In May 2010, Reuters5 reported that ten employee deaths had occurred over the previous few months at the global contract electronics manufacturer Foxconn Electronics Inc. (Foxconn), the main supplier of Apple's iPhones6.

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1] "Apple Boss Defends Conditions at iPhone Factory," www.bbc.co.uk, June 02, 2010.
2] Apple Computer Inc. is a California-based multinational company known for its designer computers and consumer electronics. The annual sales and profit of Apple Computer were $65.23 billion and $14.01 billion for the financial year 2010 respectively.
3] James Pomfret and Tyrone Siu, "Suicides Expose Stresses of China Factory Life," www.uk.reuters.com, May 25, 2010.
4] China Labor Watch is a New York-based NGO that raises issues dealing with working conditions and labor practices and rights in Chinese factories.
5] Reuters is part of the Thomson Reuters Network and is the world's leading source of intelligent information for businesses and professionals that gives top Business and market news updates and reports from across the world.
6] iPhones are mobile phone with advanced computing ability and connectivity and are manufactured and marketed by Apple.

 

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