A Reuters investigation carried out over several months, revealed Foxconn had a deliberate but unwritten code that excluded married women from jobs at the iPhone assembly plant in Sriperumbudur.

Recent Allegations

• Foxconn Overview: World’s largest contract electronics manufacturer. Known for discriminatory recruitment practices and workplace exploitation.
• Rationale for Discrimination: Perceived lower productivity due to family responsibilities.
  • Belief: Married women have babies after marriage, leading to high absenteeism.
  • Impediments: Family duties and jewelry worn by married Hindu women seen as hindrances to higher production.
• Foxconn’s Response: Denied allegations of employment discrimination based on marital status, gender, religion, or any other form.
• India’s Position: Aim to become an alternative hub to China in the supply chain for digital products such as Apple’s iPhone.
  • Current Production: Apple, through Foxconn, produces 9 to 14% of its iPhones in India.
  • Concern: Potential human cost involved in this transition.

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Background on Foxconn in China

• Production Share: Foxconn produces nearly 90% of iPhones in China.
• Known Issues: Shocking labor practices.
• China Labour Watch Findings (2020-2023): 
  • Work Conditions: Around-the-clock labor to meet impossible production targets.
  • Discriminatory Recruitment: Excluded ethnic minority groups: Uighur, Tibetan, Yi, Hui. Rejection of pregnant female workers.
• Worker Interviewed: Nicknamed ‘Hunter’:
  • Daily Tasks:
    • Job: Attach a tiny cable to the back of an iPhone cover and screw it into place.
    • Target: 600 phones, 1,200 screws per 10-hour shift.
    • Conditions: Relentless pace, no rest or toilet breaks.
  • Consequences of Falling Behind:
    • Supervisor abuse.
    • Loss of bonuses.
    • Stoppage of overtime.
  • Living and Working Conditions:
    • Environment: Windowless conditions, compulsory living on campus due to pandemic restrictions.
    • Worker Responses: Escape attempts (dodging guards, climbing fences), outbreaks of violence due to unbearable work pace.
    • Sentiment: “iPhones are made in hell,” concludes ‘Hunter’.

Apple’s Diversification Strategy

• Opportunity for India: Apple’s shift away from China. 
  • Expected Impact: Cascading effect for new investment.
  • Job Creation: 150,000 new jobs at Foxconn’s facilities in India.
• Government Dilemma: Investment attraction vs labour rights concerns.
  • Investment Attraction: Companies invest in India for cost savings on wages.
    • Foxconn’s Wages: $200 (around Rs 17,000) per month for assembly workers in Sriperumbudur.
    • Comparison: 20 times cheaper than wages in California.
    • Job Creation: Thousands of jobs in India.
  • Labour Rights Concerns: Government Responsibility to protect citizens’ rights.
• Legal Framework: Equal Remuneration Act, 1976: No wage discrimination between men and women.
• Investor Responsibilities: Commitment to a basic code respecting the dignity of labour.

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Conclusion

India must balance investment attraction with safeguarding labor rights, ensuring fair treatment, and maintaining ethical standards in its growing role as a global manufacturing hub.