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According to Chinese reports, a man recently was worked to death at an Apple plant. Foxconn, the manufacturer, is reportedly denying the man's family full benefits, as the death was not a suicide.  (Source: Ming Pao)
Foxconn refuses to pay family of employee who died of exhaustion after 34-hour shift as it wasn't suicide

The Shenzhen factory-city in southern China that primarily serves as a manufacturing site for Apple's iPads, iPhones, and iPods has claimed another life, only this time it wasn't a suicide. The man was a 28-year old plant engineer who reportedly died of exhaustion after being forced to work 34 hours nonstop.

Foxconn reportedly has been making employees work increasingly long hours to satisfy the growing demand for the iPad, including unpaid overtime.  It also has reportedly been bullying employees at the Shenzhen Apple plant and elsewhere.

The company is currently refusing to pay the family of the man, Yan Li, full benefits typically given for workers that commit suicide.  Instead, despite having apparently worked him to death, the company plans to only give the family a smaller "humanitarian terms" payout.

The man died shortly after suffering from shortness of breath.  After the 34 hour workday, he had rested for 10 hours, then had returned to work and had worked for 12 hours before becoming ill and dying.

Foxconn manufactures motherboards and other electronics for a variety of companies including Dell, HP, Microsoft, Nintendo, Nokia, and Sony.  However the Shenzhen factory serves primarily as a manufacturing facility for Apple products big and small.  It has all been the site of all the deaths thus far this year.

Since the start of the year, 11 Shenzhen workers have committed suicide, while several more have made unsuccessful attempts.  The string of suicides have brought to light the poor working conditions that the employees toil under daily.

Hon Hai Precision Industry owns the Foxconn unit that operates the plant.  The company has tried many approaches to stop the suicides -- Buddhist monks, "anger rooms", even contracts asking employees to promise not to kill themselves.  However, the death toll has continued to rise.

Foxconn's latest bid to halt the death toll is to give employees a long promised raise.  The company just instituted a 30 percent pay bump at the Shenzhen facility, bringing workers' average starting wage from $132 USD a month to $172 USD per month, enough to buy one of the iPad Nanos they manufacture (after a month's work).

The raise is rumored to be subsidized by Apple.  Apple reportedly is taking a 0.7 percent loss on the iPad's cost to pay for the raise -- or rough $3.50 per iPad sold.  This means that Apple's profit per unit sold will like drop from around $200 to around $196 per Wi-Fi iPad sold.



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RE: Heartless Bastards
By tedrodai on 6/2/2010 4:35:46 PM , Rating: 0
Yeah, my wife's schedule for a month often turns out to be 26 hard-working days and 4 days off, with seven 32-36hr shifts and twelve 12hr shifts (works out to be 90-100 hrs/wk). It's a brutal schedule and makes life hard--mentally and physically--but survivable without special complications. Of course, whether those kind of hours are reasonable is a matter of opinion.

Regardless, it still seems Foxconn treats their employees like dirt.


RE: Heartless Bastards
By sebmel on 6/2/2010 6:11:59 PM , Rating: 3
This is a sad but also complex issue. Foxconn is not acting entirely ruthlessly and I have yet to see it covered fully. This is an excerpt from an article which points out the compensation Foxconn is paying and that it might just be a motivation in some cases. Though that seems crazy, someone contemplating suicide isn't acting rationally:

"... Foxconn finds itself in the position of continuing to pay 110,000 yuan ($16,000) in compensation to every person who jumps. For a depressed Foxconn employee, who still feels an obligation to repay his family for the cost of his or her upbringing and who would like to give his parents a lump sum that could transform their lives, this is a very tempting sum.

For a worker on the basic rate of 900 yuan a month, the compensation amounts to the equivalent of over ten years of gross salary. For a worker who is doing overtime and earning 1500 yuan a month, the compensation is still worth six years of salary."

http://blogs.telegraph.co.uk/news/malcolmmoore/100...


"We’re Apple. We don’t wear suits. We don’t even own suits." -- Apple CEO Steve Jobs














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