Foxconn will pay workers $1,400 to stop protesting at ‘iPhone City’

Foxconn offered workers a settlement of 10,000 yuan ($1,400) to end protests at its facility. This was to encourage newly hired staff to quit and leave its iPhone assembly plant in Zhengzhou in central China. CNN ReportsAfter violent protests on Tuesday over withheld wages and conditions during a covid lockdown, the payout of approximately one to two months’ wages is made.

The Apple manufacturing partner reportedly made the offer Wednesday via a text message sent from its human resources department, requesting that workers “please return to your dormitories,” alongside a vow to honor pay agreements. Workers who agreed to quit their factory jobs were given 8,000 yuan (around £1,120) and another 2,000 after they board buses. This amount is approximately $280.

Zhengzhou, also referred to as “iPhone city,” was forced to lock down in October following a covid outbreak at the factory in adherence with China’s strict “zero-covid” policy. Foxconn began a recruitment drive to fill the vacant positions after workers fled. According to a document that outlines salary packages, seen by CNNThe new hires were promised a subsidy of 3,000 Yuan (around $420) if they worked for 30 days. A second bonus of 3,000 Yuan will be paid after 60 days.

On Tuesday, protests eruptedWorkers were informed that the bonus payments would not be made until next year and that the first subsidy payment would be in March. The second would be in May. “The new recruits had to work more days to get the bonus they were promised, so they felt cheated,” said one worker to CNN.

Foxconn has since admitted that there was a miscommunication regarding changes in payment dates. “Our team has been looking into the matter and discovered a technical error occurred during the onboarding process,” said Foxconn in a statement to Reuters. “We apologize for an input error in the computer system and guarantee that the actual pay is the same as agreed and the official recruitment posters.” Apple — Foxconn’s largest customer — has also weighed in, saying in a statement carried by CNN that the company was “working closely with Foxconn to ensure their employees’ concerns are addressed.”