Apple puts supplier Foxconn's India plant on notice after protests

Apple puts supplier Foxconn
# 29 December 2021 19:45 (UTC +04:00)

Apple (AAPL.O) said it had placed the southern Indian factory of iPhone assembler Foxconn (2317.TW) on probation after both companies found that some worker dormitories and dining rooms did not meet required standards, APA reports citing Reuters.

Apple did not explain what probation meant.

When it placed the southern India plant of another supplier, Wistron Corp (3231.TW), on probation after unrest last year, it said it would not award that company new business until it addressed the way workers were treated.

The latest action follows protests that erupted this month after more than 250 women who work at the Foxconn plant and live in one of the dormitories were treated for food poisoning. More than 150 were hospitalised, Reuters reported.

The plant, which is located in the town of Sriperumbudur town near Chennai and employs about 17,000 people, was closed on Dec 18. Apple and Foxconn did not say when they expected it to reopen.

A spokesperson for Taiwan's Foxconn said on Wednesday that it was restructuring its local management team, taking immediate steps to improve facilities and added that all employees would continue to be paid while it makes necessary improvements to restart operations.

An Apple spokesperson said on Wednesday it had dispatched independent auditors to assess conditions at the dormitories "following recent concerns about food safety and accommodation conditions at Foxconn Sriperumbudur."

Apple said it had found that some of the dormitory accommodations and dining rooms, which were not on the factory's premises, did not meet its requirements and that it was working with the supplier to ensure a comprehensive set of corrective actions, adding that it will ensure its strict standards are met before the facility reopens.

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