BUSINESS ENGLISH 07•12•2024
EXAMINING UNFAIR
TRADE PRACTICES:
THE CASE OF APPLE'S FOXCONN
FACTORIES.
MONTSERRAT ESPINOSA & TAKAHO KANO
BACKGROUND
INFORMATION
FOXCONN.
Major electronics manufacturer
APPLE INC. headquartered in Taiwan.
It is one of the largest employers in
Founded in 1976, it is a leading
the world, with significant operations
technology company known for its
in China, where it assembles
innovative products such as the
products for companies like Apple.
iPhone, iPad, and MacBook. Apple has
grown to become one of the world's
most valuable companies.
HISTORICAL
CONTEXT
In the early 2010s, numerous reports surfaced detailing harsh working
conditions at Foxconn factories, where many Apple products were
assembled. These revelations sparked a global debate on labor practices in
the tech industry.
WORKING
CONDITIONS
Long hours Low wages High pressure
Workers often had to work shifts Despite working long hours, The production targets and
exceeding 12 hours, with some many workers were paid low speed of work created a high-
reporting up to 16-hour shifts. wages, insufficient to cover pressure environment, leading to
Overtime was frequently basic living expenses in the significant mental and physical
mandatory, and workers had factory areas. This led to a high stress among workers.
little time off. dependence on overtime pay.
LIVING
CONDITIONS
Dormitories Safety and Hygiene
Reports highlighted poor safety
Workers lived in crowded
standards, both in the workplace
dormitories with inadequate
and in living quarters.
living conditions. Rooms were
Lack of proper ventilation,
often shared by many workers,
sanitation, and safety measures
leading to poor hygiene and
contributed to health risks.
limited personal space.
NOTABLE
INCIDENTS
Worker Suicides
Between 2010 and 2013 there were a series of
suicides at Foxconn factories, these incidents
highlighted the extreme stress and despair
faced by many workers.
Accidents and Injuries
There were numerous reports of accidents and
injuries due to insufficient safety protocols,
including chemical exposure and machinery
accidents.
PUBLIC
BACKLASH
The reports of poor working conditions and
worker suicides led to widespread media
coverage and public outrage. Consumers
and advocacy groups demanded better
working conditions and ethical practices
from Apple and its suppliers.
COMPANY
RESPONSE
Supplier Responsibility Wage Increases and Improvements in Living
Program Reduced Hours Conditions
In response to the backlash, Foxconn announced wage Efforts were made to improve
Apple strengthened its Supplier increases and measures to the living conditions in
Responsibility program. This reduce working hours. This dormitories, including
included regular audits and included hiring more workers to renovations and the provision of
inspections of its suppliers to share the workload and better facilities.
ensure compliance with labor implementing better labor
standards. practices.
LONG-TERM
IMPACT
Despite these improvements, challenges remain. Reports of labor violations still surface periodically,
indicating that systemic issues persist.
The heightened scrutiny and consumer
awareness have pushed not only Apple
but also other tech companies to
The case has contributed to a
prioritize ethical practices in their
broader movement advocating
supply chains.
for workers' rights and better
labor conditions in the global
electronics industry.
CONCLUSION
This case underscores the ongoing
need for vigilance and ethical
responsibility in global trade. It shows
that consumer awareness and
advocacy can drive significant
improvements in labor practices.
As consumers, we have the power to
demand better conditions for workers
and support companies that prioritize
ethical practices in their supply chains.
BUSINESS ENGLISH 07•12•2024
THANK
YOU!
