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Foxconn raises pay to lure back workers fleeing COVID: Reports

  • Foxconn, a major iPhone manufacturer, is increasing wages to encourage workers who fled to return to work.
  • Foxconn’s plant has been under COVID restrictions ever since an epidemic on its premises.
  • China factory workers were filmed climbing over fences to get to their homes in Zhengzhou.

Apple’s biggest iPhone maker, Foxconn, is raising workers’ wages at its plant in Zhengzhou, China, after some of its  employees began fleeing the site to escape stringent pandemic measures following an outbreak, according to several media reports. 

Foxconn’s 200,000 employees have seen their hourly wages rise by up to 36%, to $5.20 per hour for “key jobs.” Bloomberg wrote Monday. Sources who refused to identify themselves because of the lack of public announcement about the pay raise were cited by the outlet.

Foxconn announced that it will increase daily bonuses at its Zhengzhou plant workers to $55 per day during November. Reuters reported.

Prior to the recent raise in pay, Foxconn workers earned around $1,082 per monthly, South China Morning Post reported on January. 

Foxconn raises wages amid a difficult period as Apple prepares to launch the iPhone 14s in time for Christmas. According to Reuters, Foxconn accounts for around 70% of Apple’s worldwide iPhone shipments.

Reuters reported MondayPandemic measures have caused iPhone production to drop as high as 30% 

Its Zhengzhou plant was taken over by a Closed-loop system in mid-October after coronavirus cases emerged there — a response which adheres to China’s strict zero-COVID policy. Workers are allowed to transport their dorm rooms to the factory, but they are not allowed outside the premises.

Unrest arose when workers on production lines received meal boxes while other workers were provided basic food like bread and instant noodles. Bloomberg reportedOctober 28, 2008.

Some workers became frustrated with their new living conditions and decided to film them. Climbing fences at Zhengzhou and trekking to their villages miles away. According to one 20-year-old worker, she and her brother walked 25-miles with their bags to get home. Bloomberg reported.

Foxconn Previously told InsiderIt was “aware” that the current situation meant that there would be a long battle for the safety and well-being of over 200,000 Foxconn employees in Zhengzhou park.

After viral videos of iPhone workers walking back to their homes on Chinese social media, the iPhone maker stated that it had arranged transport for them.

Insider reached out to Foxconn and Apple for comment but they did not immediately reply.

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