Should read... Apple caves to media pressure months after initial issues were brought up. Then just copy and paste that for every security and OS issues known on OSX.
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Apple to Contribute Toward Costs of Improving Working Conditions at Foxconn Facilities
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I still don't understand why people are letting Apple off the hook in regards to these factories.
Yes there are factories that are far far worse, but in general the working conditions at Foxconn are clearly not good enough, and shouldn't be an excuse for Apple to go, "well, the working conditions might be crap, but it could be worse!".
I'm sure if your employer had that attitude you wouldn't be happy!!!
That makes sense.
And makes them more popular with the Chinese public, I suppose.
A good move then.
A host of good reasons.
First of which is that Foxconn's operations are decidedly low-margin ones. Apple currently makes an astounding 45%+ margin on its hardware. Foxconn makes that hardware at less than 10% gross margin. Buying Foxconn would dilute Apple profit margins to an unacceptable degree.
Secondly, such as purchase would open the company up to anti-competition scrutiny. Foxconn makes phones and computers for many of Apple's competitors. Regulatory agencies would most likely not let such a transaction occur.
Thirdly, ownership of production facilities in China comes with all sorts of restrictions, local-partnership and investment requirements, etc. - things that Apple, as a publicly-traded US company, simply doesn't want to get involved with.
Lastly, Apple's greatest strengths as a company simply aren't in managing the sort of labor-intensive operation that characterizes most of Foxconn. Apple might be great design engineers (arguably the best in the world) - but thats a very different skill-set from being able to recruit, train, house, schedule, and manage an army of Chinese young people in cities like Shenzhen and Chengdou.
Crisis management should be a part of any organization, and prevention is the best kind. This is sort of prevention, but also partially crisis response.
Not only that Foxconn has more clients than just Apple also it makes economical sense for Apple to outsource this stuff.
That sounds great.
Oh, never mind I guess.
I wonder why
The only thing that's unclear is where
they might as well start manufacturing in the US then. the public would be much more willing to pay a price increase if most/all of the product is made in the USA
Exactly. What does it mean there are factories that are far worse? Child labour, 20 hour workdays, forced labours, forced hysterectomies, physical violence by the bosses, beatings, verbal and physical terrorization of the workforce...ok let's rephrase this, because language is a powerful tool when it comes to truth telling. So let's rephrase the "there are far worse" factories argument so it actually means what it says:
Apple's foxconn factories are ok and apple shouldn't be criticized because there are worse factories out there that have child labour, 20 hour workdays, forced labours, forced hysterectomies, physical violence by the bosses, beatings, verbal and physical terrorization of the workforce. Apple's factories are ok because they could have been like the aforementioned other factories but they are not, people are not beaten up or children forced to work or mothers ushered into forced labour in apple's factories.
Congratulations the iphone you just bought might have been created in dirt poor working conditions but it doesn't have blood on it, just tons of long backbreaking hours for peanuts in tight containers, and oh except maybe a few suicides below China's national average.
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Would have thought that at least apple had offered one mac to foxconn's pr, as evidenced by the lack of spellcheck they haven't even offered that one mac. Shouldn't be spoiling them anyway.
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Not their country, not their politics.
Try being in the military for twenty years and then tell me about working conditions. Working at Foxconn would be like a nice vacation.
I agree^^^
It does seem that since Cook took over Apple does seem to have more "heart". From a business point of view, if that sells more stuff, then fine. I'm more interested in actions, less in motivation. I don't particularly care why something good is done (selfish motives, increased sales), I just care that the good is done.
First Apple cares about selling stuff and making money for it's shareholders. That is their legal and fiduciary responsibility. Apple cares about it's customers to the degree that "caring" sells stuff. Frankly, Apple doesn't give a crap about you...and that's not their responsibility.
Please name ten of the "thousands of companies" to which you refer. And please support the "100 times worse" figure.
How do you know what it's like working for Foxconn? Have you worked there? Have you spent some time there?
"Choosing to work overtime" is a tricky concept. There is a saying..."rich and poor alike can sleep under the bridges of Paris. It's just that the rich don't choose to do so".
So that's the PROB with your post.
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At least part of the reason is that mentioning Apple in your "cause" is almost guaranteed to get you more attention than if you mentioned some lesser company. The Apple name draws attention to people who want attention, e.g. Greenpeace, Mike Daisey, The NYT, the guy with the Foxconn petition, etc.
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Labor costs are the least of it. There is a huge money laundering racket going on that keeps Apple (and others) from paying US and state taxes. In addition, huge amounts of money is stashed in off-shore banks waiting for a president who will give them a "tax holiday".
This is much more a factor than the few minutes (if that) of labor needed to assemble some robot-made components at Foxcon.
Also, the real abuses take place in the companies that supply Foxcon with components. From mining to making little parts, those companies are hardly regulated at all.
This is much more a factor than the few minutes (if that) of labor needed to assemble some robot-made components at Foxcon.
Also, the real abuses take place in the companies that supply Foxcon with components. From mining to making little parts, those companies are hardly regulated at all.
So 'happy workers mean good productivity'.
The US Chamber of Commerce, et al, should hear that...
The US Chamber of Commerce, et al, should hear that...
Not to blindly defend Apple, or to over-simplify the situation, but I'm trying to wrap my head around the problem itself. Let me pose this hypothetical situation:
Let's say, for instance, you're a little local construction company. You build sheds that sell rather well. You buy your supplies at Home Depot or Lowes. When you're getting your supplies, you notice that the store seems sorta run down and the people seem upset and make a really low wage.
Now is it your responsibility to go out of your way and spend your money to improve their wages or conditions? You're already a customer and pay your invoices on time. Doesn't it behoove the company to use their income to improve their workforce's conditions/wages?
Personally, regardless of how much cash Apple has on hand, I don't see why it's Apple's responsibility to improve Foxconn conditions. At the end of the day, they're just another Foxconn customer. No more, no less. If Apple owned a substanital financial stake in the company, that might be different, though I doubt that's the case. Sure, there might be a moral obligation, but no more so than any of Foxconn's other customers. But you don't hear about them being at fault or contributing.
That being said, it really does appear to me that Apple's being raked over to coals simply because they have more money and they're a higher profile customer.
Let's say, for instance, you're a little local construction company. You build sheds that sell rather well. You buy your supplies at Home Depot or Lowes. When you're getting your supplies, you notice that the store seems sorta run down and the people seem upset and make a really low wage.
Now is it your responsibility to go out of your way and spend your money to improve their wages or conditions? You're already a customer and pay your invoices on time. Doesn't it behoove the company to use their income to improve their workforce's conditions/wages?
Personally, regardless of how much cash Apple has on hand, I don't see why it's Apple's responsibility to improve Foxconn conditions. At the end of the day, they're just another Foxconn customer. No more, no less. If Apple owned a substanital financial stake in the company, that might be different, though I doubt that's the case. Sure, there might be a moral obligation, but no more so than any of Foxconn's other customers. But you don't hear about them being at fault or contributing.
That being said, it really does appear to me that Apple's being raked over to coals simply because they have more money and they're a higher profile customer.
Because Apple agreed to be their client. It's kinda like being friends with a guy who beats his wife. There are probably many other companies that could supply the parts Apple needs that treats its employees better. Sure, it may cost a bit more, but a better reputation may be worth it. Plus, with Apple's halo effect, many people will still pay for Apple products regardless of price.
When you make 35% + margin and have billions in cash and aren't doing anything with it, especially when your home country is experiencing terrible unemployment, why wouldn't Apple decide to produce these products here in the USA? People already pay way to much for Apple products and Apples margins are already padded enough to where they could cover it with little increase in price. I mean a 25% margin is still way above everyone else at that point.
Its because Apple has more cash on hand than most countries yet they don't reinvest any of it into the company, its shareholders, or technology. I mean one could assume that cash is being used for one thing... litigating people.
Well, that's just it. The reason Apple is being so highlighted is because it's the most valuable company in the world, and with very healthy margins; selling products made by thousands of employees on low wages working long shifts.
Working in Foxconn is probably no worse (maybe a lot better!) than other companies in China, but it's that comparison of a very rich company whose success is (in part) based on the work of thousands of low-paid employees that's really jarring. And people are interested in stories like that, so it gets a lot of press attention. And every company wants to avoid negative attention so....
Some would say Apple has an obligation to treat the workers (whether internal or 'outsourced') better. Others say, that's Foxconn's problem. The problem with life.. it doesn't come with a manual. Flip a coin.
A company has no obligation to pay higher taxes, just as you don't. I take every tax break the US tax code allows me to take. Why should a company not do the exact same thing?