Foxconn Needs Workers
As Apple gets ready to release its next iPhone series next month, the COVID-19 pandemic, particularly the Delta variant, has caused difficulties in the iPhone supply chain, particularly as Apple is expected to have upped their production targets for this year. While Apple’s primary iPhone assembler Foxconn (2354.TT) has been able to stay infection free at its massive assembly plant in Zhengzhou, China, even relatively small outbreaks have caused lockdowns that have limited Foxconn’s ability to hire staff. Local press is indicating that Foxconn is looking to hire 200,000 more workers by the end of next month to produce roughly 500,000 smartphones each day.
The Zhengzhou factory is part of what is called ‘iPhone City’, a science park about 20 miles from downtown Zhengzhou, that employs over 350,000 workers who live in 12 story dormitories and work 6 days a week. The complex which was built in 2010 and received $600m in financing from the provincial government, along with much of the external infrastructure, such as power plants and paved roads, and still gets government help during periods of recruitment, with some cities required to meet quotas as to how many residents must work at the factory. The government even provides transportation for workers from other cities who wish to sign up, picking them up locally and bringing them right to the factory’s front gate. That said, it is still a struggle to get the factory fully staffed to meet Apple’s goals and the company is offering signing bonuses of up to $1,960 for production line workers that make it through 90 days of employment and existing workers get $185 for each worker they refer. These are the highest bonus levels ever offered at the factory since 2010.
The Zhengzhou factory is part of what is called ‘iPhone City’, a science park about 20 miles from downtown Zhengzhou, that employs over 350,000 workers who live in 12 story dormitories and work 6 days a week. The complex which was built in 2010 and received $600m in financing from the provincial government, along with much of the external infrastructure, such as power plants and paved roads, and still gets government help during periods of recruitment, with some cities required to meet quotas as to how many residents must work at the factory. The government even provides transportation for workers from other cities who wish to sign up, picking them up locally and bringing them right to the factory’s front gate. That said, it is still a struggle to get the factory fully staffed to meet Apple’s goals and the company is offering signing bonuses of up to $1,960 for production line workers that make it through 90 days of employment and existing workers get $185 for each worker they refer. These are the highest bonus levels ever offered at the factory since 2010.
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