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Tuesday, 25 September 2012 - China factory unrest a fresh headache for Foxconn |
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See the best of Reuters photography.  See more | Photo caption  Communism school A look inside China's Communist leadership academy.  Slideshow  Disputed islands Protests break out over disputed islands in the East China Sea.  Slideshow  China factory unrest a fresh headache for Foxconn Tweet Share this Email Print Related News Foxconn China plant closed after 2,000 riot Mon, Sep 24 2012 Apple sells over 5 million iPhone 5, supply constraints loom Mon, Sep 24 2012 UPDATE 5-Chinese electronics factory closed after 2,000 riot Mon, Sep 24 2012 Apple iPhone 5 fever rages despite grumbling over maps Fri, Sep 21 2012 Apple's iPhone 5 uses chips from Qualcomm, Avago, Skyworks Fri, Sep 21 2012 Analysis & Opinion Counterparties: Apple’s “headaches” iPhone 5 will live up to the hype – in time Related Topics Tech » China » Workers clean up glass shards from the broken windows of a security room near paramilitary police vehicles parked near an entrance of a Foxconn Tech-Industry Park in Taiyuan, Shanxi province, September 24, 2012. Credit: Reuters/Stringer By Michael Martina TAIYUAN, China | Tue Sep 25, 2012 4:07am EDT TAIYUAN, China (Reuters) - A brawl at a Foxconn factory that disrupted production at Apple's main China supplier for 24 hours highlights regimented dormitory life and thuggish security as major sources of labor tension in China. While unrest often flares in China as low-paid workers agitate for better pay and conditions, the conflict at Foxconn's Taiyuan facility in northern China was notable for its scale and severity, even if not directly related to shop-floor conditions. It marked a blow to Apple's top supplier as it ramps up production to meet orders for the iPhone 5 and seeks to rehabilitate its image after a labor audit this year found flaws. The company does not say which of its plants supply Apple but an employee told Reuters that the Taiyuan plant was among those that assembled and made parts for the iPhone 5. Some workers said they were making the iPhone 4s. Details of the melee remain sketchy as police and company officials investigate, but employees interviewed by Reuters said tension between workers and security guards boiled over on Sunday evening after a worker was severely beaten. That led to thousands joining the fracas and about 40 people were injured, according to Foxconn and Chinese media. The movement of workers from other Foxconn plants to Taiyuan may have contributed to friction between groups of laborers facing heavier workloads and crowded dormitories as production intensified to meet Apple targets, rights groups and workers said. It was quiet on Tuesday outside the factory, with police keeping watch. Gates had been torn off hinges and windows smashed, and a voice on a loop recording broadcast over a loud speaker appealed for people to maintain order. "There were thousands of bystanders and they just couldn't control it. It was just smash and destroy," said a 29-year-old worker who would only give his surname Xiang. Xiang said several thousand police were eventually deployed to quell the unrest. Foxconn Technology Group of Taiwan, the trading name of Hon Hai Precision Industry Co, is the world's largest contract maker of electronics for global brands such as Hewlett Packard, Nokia and Dell as well as Apple. Foxconn said on Tuesday the one-day closure would not disrupt supplies from the factory where 79,000 people work. "PRODUCT SHORTAGES, PRESSURE" The company said the unrest was triggered by a personal dispute that spun out of control, rather than harsh conditions in the factory. Louis Woo, a Foxconn spokesman, said the security personnel involved were under contract with a third party at a privately managed factory dormitory, adding that their attitude "is not too good". In the past, Foxconn security personnel have been known for bullying and as tough enforcers of efforts to stop theft, including the pilfering of Apple prototypes, with workers being subjected to stringent body searches. In 2010, Foxconn guards roughed up a Reuters journalist outside a factory in Shenzhen. Several Taiyuan workers said some tension had arisen because of the deployment of workers from other Foxconn plants to bolster manpower in Taiyuan, with friction between workers from different provinces including Henan and Shandong. "This happens in many companies, especially big ones," Woo said of the movement of workers around the country. "We have 1.1 million workers in total in China, the advantage is we can mobilize our workers when one business line suddenly needs more people. Relocation happens very often." Some labor groups say ultimate responsibility for strains rests with Apple, which they say puts profit above workers' welfare despite pledges to cut overtime hours and improve workers' livelihoods. "The whole Apple production chain has problems," said Li Qiang, with the New York-based China Labor Watch, that has scrutinized Apple and Foxconn for years. "Its sales and marketing strategy involves launching a product suddenly, without maintaining much inventory ... so the subsequent product shortages help build demand, but also place extreme pressures on workers." Foxconn has begun a series of reforms after facing accusations of poor conditions and mistreatment of workers. Li Qiang, the labor activist, said workers at Foxconn's giant plant in Zhengzhou, in Henan province, were largely working on the iPhone 5, and were also facing great pressure, with 70 hours a week common, despite pledges by Apple and Foxconn to cap work at 60 hours. (Reporting by Michael Martina in TAIYUAN and Clare Jim in TAIPEI; additional reporting by Chris Buckley, Sisi Tang; Writing by James Pomfret; Editing by Robert Birsel and Ken Wills) Tech China Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints   We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (0) Be the first to comment on reuters.com. Add yours using the box above.   Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Connect with Reuters Twitter   Facebook   LinkedIn   RSS   Podcast   Newsletters   Mobile About Privacy Policy Terms of Use AdChoices Copyright Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us   Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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