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Foxconn may replace workers at its plants with robots. The plants which have been dubbed as "hellish" by the Chinese media, also are cutting their sucide payouts. They already don't pay for workers who die of exhaustion.  (Source: Telegraph UK)

Foxconn is blame news orginizations' reporting of the deaths for provoking more suicides, dismissing that poor working conditions are to blame.  (Source: Southern Weekly)
Company also blames news networks for the suicides

Foxconn seemed to be turning the corner in working conditions and corporate policy.  It had raised employees' base wages and instituted additional performance based increases, as well.  It even had retracted its contract letters to employees demanding they didn't kill themselves.  Now the manufacturer -- which services Apple, Sony, Microsoft, and a host of other companies -- is turning to some controversial new changes.

First of all, at its annual shareholder meeting yesterday, Terry Gou, CEO of Taiwan's Hon Hai Precision Industry (owners of the Chinese Foxconn unit) blamed news agencies and company payouts for the rash of suicides.  He first read a letter from one of the employees who killed himself, which stated:
...now I'm going to jump off Foxconn, really leaving now, but you don't have to be sad, because Foxconn will pay a bit of money, this is all your son can repay you now.
He also stated that 6 of the 12 suicides, which occurred in May after the story received international attention, may have triggered a "Werther Effect" -- people reading about the story and deciding to kill themselves.  As a result, Gou is handing control over "welfare management work" to the Chinese local government, which may chose to block internet coverage for the events.

He also announced that Foxconn will no longer pay the families of employees who kill themselves.  Recently a worker died, apparently from exhaustion from working long hours and Foxconn refused to pay his family, as well.  The new policy, though, ends suicide payouts that could total as much as 10 years worth of salary.

Foxconn has also started to flee China, where it currently employs over 800,000 people.  In the shareholders meeting it said that the rise in wages from ¥900 ($132) to ¥1,200 ($176), and for top performers up to ¥2,000 ($293), is compelling it to move to countries with cheaper labor or seek alternative options. 

It says that it may replace employees with robots, building a fully automated assembly line in Taiwan.  This suggestion is somewhat ironic, given recent Foxconn factory workers' complaints that they felt like "robots" when performing their duties. 

Chairman Samuel Chen says that the company may also shift employees and orders to its Vietnam plant, where labor is cheaper.  Chen says that Foxconn is working with the companies that contract it to make these moves as smooth as possible.


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RE: Just low....
By SublimeSimplicity on 6/9/2010 2:34:02 PM , Rating: 3
quote:
Please, don't call me uncaring or stupid for expecting people to do for themselves to some degree. If help is needed, sure, provide it. But only after they try (in earnest) to fix it themselves.

"Suffering as such is not a value; only man’s fight against suffering, is. If you choose to help a man who suffers, do it only on the ground of his virtues, of his right to recover, of his rational record, or of the fact that he suffers unjustly; then your action is still a trade, and his virtue is the payment for your help. But to help a man who has no virtues, to help him on the ground of his suffering as such, to accept his faults, his need, as a claim-is to accept the mortgage of a zero on your values. A man who has no virtues is a hater of existence who acts on the premise of death; to help him is to sanction his evil and to support his career of destruction. Be it only a penny you will not miss or a kindly smile he has not earned, a tribute to a zero is treason to life and to all those who struggle to maintain it. It is of such pennies and smiles that the desolation of your world was made."
- John Galt


"Vista runs on Atom ... It's just no one uses it". -- Intel CEO Paul Otellini














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