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Foxconn, Apple Agree To Change Labor Practices

3/30/2012 11:04:56 AM Eastern
Washington - The Fair Labor Association (FLA) reported that Apple and its supplier Foxconn will upgrade factory worker conditions to comply with FLA and Chinese legal standards.

Under the agreement, Foxconn has committed to reducing worker hours without sacrificing pay levels and improve safety conditions. The FLA said it will continue to monitor the situation at Foxconn's plants to ensure compliance.

The FLA conducted a 3,000-hour-long investigation that included surveying 35,000 Foxconn employees on working conditions at three plants. The FLA report found that during the 12 -month investigation, all three factories exceeded Chinese and FLA limits on hours worked of 40 hours of regular plus 36 hours of overtime per week. The FLA said plant workers regularly clocked 60 hours per week, and there were periods when staffers worked more than seven consecutive days without the required day off.

The FLA said Foxconn will comply with the legally set work periods by July 2013. To keep pay levels at their current levels, Foxconn will adjust its compensation package to protect workers from losing income due to working less overtime.

Other Foxconn practices uncovered by the FLA included not paying workers properly for overtime. The company paid overtime in 30-minute increments, so a worker putting in 29 minutes of overtime would not get paid at all, and an employee working 58 minutes would only be paid for 30. Foxconn promised to remedy this situation, the FLA report stated.

The workers survey also found that 64 percent said their salary does not meet their basic needs and there is a great deal of concern over safety and health issues in the factories.

A full copy of the report is available at www.fairlabor.org/transparency/complaints-investigations.
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