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05-30-2010, 01:48 PM #1
Suicide Rash May Prompt Major Pay Hike for iPhone Makers
In recent weeks on MMi, we've covered the unfortunate rash of suicides that have plagued a Shenzhen factory of iPhone manufacturer Foxconn. So far in 2010, at least ten individuals have died at the manufacturing complex referenced. As a a result of those deaths - half of which occurred this month - there have been multiple inquiries about working conditions at the factory as well as substandard wages - factors that may have contributed to the wave of tragic suicides.
As a result of harsh public criticisms and ongoing investigations, there are reports this weekend that a 20% pay raise may come to iPhone makers in Shenzhen, where the minimum monthly wage is between $132 and $146. The Irish Times reports that Foxconn employees are paid a base salary of $132, that's according to data collected by China Labor Watch, a New York-based outfit that champions civil and workers rights in China. To date, those overseeing the working conditions at the factory are bitterly denying that the environment is similar to that of a “sweatshop.”
When news of the suicides first became public, Apple issued a statement noting that “we require that our suppliers treat all workers with dignity and respect.”
Although it appears to the outside world that extremely harsh working conditions and low pay were all but certainly major contributing factors to the suicides, Communist Party officials and other local labor union officials are still pouring over information gleaned from their May 26th on-site investigation at the factory. For now, no municipal government officials are blaming wage and working conditions on the the deaths.
Image via New York Daily News
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05-30-2010, 02:08 PM #2
The Suicide rate in China is, I believe, about 13 per 100,000
The Foxcon complex employs 3-400,000 people so you're looking at 39 - 52 deaths a year if they meet the average for China.
How is 10 deaths in 5 months excessive?
1 death is 1 too many but this story does seem to be exaggerating the problem somewhat.
Last edited by confucious; 05-30-2010 at 02:11 PM. Reason: 13 per 1000? meant 100,000He who asks a question looks foolish for 5 minutes. He who doesn't ask a question remains foolish forever.
05-30-2010, 02:27 PM #3
But moreover, the people who tend to kill themselves in don't tend to be young 20 somethings who are gainfully employed with families which pretty much all these people are. If you look at just these people outside of the sphere of Foxconn, they'd be at VERY low risk for suicide.
There's clearly an issue. I know you want to just use your iPad and not think of it as something that may have contributed to someone elses unhappiness, but sometimes it's necessary to consider unpleasant realities.
Conditions and pay aren't great anywhere in China, and that's why we get to enjoy cheap chinese made electronics. Foxconn, in particular, is just a victim of their own success. They have so many major deals going that they h ave to keep all their factories running 24 hours a day, and that means they need all their workers to work massive amounts of overtime. They do pay them for this overtime work, but they *require* it. Work overtime or go find another job. Many did go find other jobs, which makes the problem even worse. So now they're hiring nay shmuck with a pulse as long as they're willing to sign a paper saying they'll work 100 hours a week and these people's lives are basically "wake up, work, sleep" with no time for *anything* else.
So why do they do it? Their families need the money. But come to find out, if an employee commits suicide, their family is given some money as compensation. Given that the money is significant and these people's lives has boiled down to *nothing* but work, it's not surprising that many are starting to take the easy way out and that's why we hear about another suicide practically *every* day of the last week. Sixteen was the last number I heard, but it was only 7 a couple weeks ago, so the rate is very, very high.
05-30-2010, 02:37 PM #4
Thanks for removing this idio post lol
05-30-2010, 02:39 PM #5
use gold bond
05-30-2010, 02:54 PM #6
If speaking from the Foxconn side raising wages is may cause more "problems", maybe even peer pressure suicide to get more raises.
What should happen is improve living condition of the workers.
Put a limit on how much overtime one can take per week.
Add a psychologist for workers to see.
When people wants overtime and now is limited, maybe this would help them watch their fellow man and help fellow them. Psychologist would be on site for people who wants help. Improved living conditions with some entertainment so people can relieve some stress.
05-30-2010, 03:13 PM #7
People seem surprised that it's a sweatshop
05-30-2010, 03:47 PM #8
^ we should make our charity idea real and show the foxconn workers the zeal thread. we could save thousands!
05-30-2010, 04:28 PM #9
People use Sweat Shop too often.
According to Los Angeles Times the workers are paid higher wages than the minimum wage in the area, so they are within the laws of the state. People seem to use their U.S. cost of living standard to evaluate a country on the other side of the world.
Just to show you how it is, I recently visit Taiwan in early May (considered a country with WAY higher standard of living than ShenZhen). Average cost of a boxed lunch is $2 U.S., and if you want to eat better local food would cost you close to $6 U.S. Hell even McDonald's in Taiwan right now have $3 U.S. for triple cheese burger value meal. A bus ride is 50 cents for adults. So the cost of living is significantly lower than most places in U.S., therefore the cheaper cost of living will reflect on the wages.
This is why U.S. Citizen who goes to China will get lower pay but live at a higher standard of living compared to what they get in U.S doing similar work.
05-30-2010, 08:01 PM #10
Suicidal rate wouldn't be so high in China if they didn't have poor working conditions and rights.Asking for help is different from being stupid. Fanboys can rot in @#$%!
05-30-2010, 08:26 PM #11
05-30-2010, 08:49 PM #12
it is what it is. sucks.killall Terminal
05-30-2010, 09:24 PM #13
I think the only reason foxconn is paying attention and is planning on making changes is because it got out and so many people now know about this, putting pressure on them... And its good that it got out, i wouldn't mind if iphone prices would go up if i knew that this extra money would makes workers happier. Even better apple should suck it up and make less profit on iphones. There is nothing great about having an iphone knowing people jumped out the window after making it.
05-30-2010, 09:45 PM #14
cheaper products, high wage, high std of living, human rights, no overtime. the equal sign only exists in the ideal world, people should get back to reality.
and if things can be changed, i am pretty sure the chinese government would like everyone of the 1.3billion people,(plus i dunno how many that's born without a registered ID aka "black identity") in china to get paid as much as rest of the world, but it's just not realistic.
try to give democracy to 1.3billion people who are fighting for survival...
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05-31-2010, 04:07 AM #15
I can't wrap my brain around why anyone would want to kill themselves, but apparently this company is in serious need of help.
05-31-2010, 07:47 AM #16
for all your ranting , you facts are full of crap .. i would have thought before taking so much time to go off on that monologue you'd have spent a little time ACTUALLY researching what you are saying. Seeing as you couldn't be bothered, let me help you.
Global Times - Foxconn deaths hit 11
SpringerLink - Journal Article
shame you waffled on really.
Last edited by sphangman; 05-31-2010 at 07:50 AM.
05-31-2010, 08:08 AM #17
05-31-2010, 11:05 AM #18
05-31-2010, 11:32 AM #19
05-31-2010, 06:04 PM #20
It's just economics. If companies kept operations in the US when it was financially beneficial to have them elsewhere, in this recession we'd see a lot more people out of work. Profits margins would be smaller already and then would decrease to zero a lot faster.