A day after fresh protests broke out at the world's biggest iPhone plant in China over overdue pay and severe Covid-19 restrictions, Foxconn has apologised to workers and said a pay-related "technical error" occurred when hiring new recruits.
On Wednesday, workers at the Foxconn factory in Zhengzhou city clashed with security personnel amid claims of overdue pay and frustration over severe Covid-19 restrictions.
According to a Reuters report, workers said on videos circulated on social media that they had been informed that the Foxconn intended to delay bonus payments. Some workers also complained they were forced to share dormitories with colleagues who had tested positive for Covid.
Foxconn has offered payouts of around $1,400 to newly recruited staff who elect to leave the iPhone factory and vowed to honour pay agreements.
"Our team has been looking into the matter and discovered a technical error occurred during the onboarding process," Foxconn said in a statement, adding "We apologize for an input error in the computer system and guarantee that the actual pay is the same as agreed and the official recruitment posters."
The report, citing a person close to lthe development, said the company had reached "initial agreements" with employees to resolve the dispute and production at the plant was continuing.
Meanwhile, Apple said it had team members on the ground at the iPhone plant. “We are reviewing the situation and working closely with Foxconn to ensure their employees’ concerns are addressed,” the company said.
The Foxconn factory has seen several protests recently with workers crossing the fences of the enclosed factory to return home amid strict Covid-19 curbs in China as infections continue to rise in the past few weeks. The country reported more than 30,000 new infections on Wednesday.
Shortages of food is also one of the reasons workers are fleeing the enclosed campus which houses nearly 200,000 workers.
The fresh protests are likely to affect the production of Apple’s latest iPhone 14 Pro and Pro Max in the factory which accounts for 70% of iPhone shipments globally.
According to a Reuters report, iPhone output at the Zhengzhou factory could decline by as much as 30% in November. Apple has also warned it expects lower shipments of premium iPhone 14 models than previously anticipated.
