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Chinese readers respond to story of Apple's Chinese suppliers

The financial world's eyes are on Apple this week after it announced record-breaking quarterly earnings. In the midst of all this commentary and congratulations, there was also a sobering article by New York Times reporters Charles Duhigg and David Barboza. Titled "In China, Human Costs Are Built Into an iPad," the story was critical of Apple's relationship with its overseas manufacturing partners.

The piece details the purported harsh working conditions found in the factories of the contract companies that build Apple products. The 7-page article claims Apple puts incredible pressure on its partners to produce a large volume of components in a short amount of time and for little profit.

This incredible pressure forces companies like Foxconn and Wintek to cut corners and risk the safety of their workers to meet Apple's demands. Apple supposedly turns a blind eye to these practices and will even cut money to companies that complain. The article ends with a statement that implicates Apple fans in this scandal by saying "And right now, customers care more about a new iPhone than working conditions in China."

This report was reprinted in the Chinese business magazine, Caixin, and elicited equally emotional responses by the Chinese who both support and condemn Apple. Here are a few samples of the comments left on the Chinese report,

If people saw what kind of life workers lived before they found a job at Foxconn, they would come to an opposite conclusion of this story: that Apple is such a philanthropist. - Zhengchu1982

Apple has gained so much sales revenues from China. Do you think the company really cares about the conditions of those workers? I think they are just proud of having an Apple product. - 李凌云-深圳

1.) It is a pity that, we know that for Apple fans, such a story won't stop their enthusiasm. Just like people are still buying Nike and Adidas shoes, knowing that shoe manufacturing is highly environmentally hazardous; 2.) if a government cannot guarantee the welfare of its own 120 million disadvantaged population and even suppresses their appeals, then how could we require an overseas company to protect the labor rights in a Chinese factory? - Jionglegejiong

When the explosion happened, I was working for media in Chengdu. Domestic media were all silenced and only allowed to use the (Xinhua) official report, because that (Foxconn factory) was a key project. Compare to what The New York Times wrote, the gap really saddened my heart. - Chen Qiye

Without Apple, Chinese workers will be worse off. I hope China can some day soon have dozens of its own companies like Apple, who (only) work on high-end research and development and send manufacturing lines to Africa. - Anonymous

In the end, there's no easy answer to this problem. Apple tries to be transparent and releases an annual report that details its progress in improving supplier working conditions. Apple can pressure its suppliers to conform to its standards, but it has no control over regulation in a foreign country.

Is Apple doing enough, or does it need to do more to ensure the safety of workers at other companies? Right now, the best thing we can do is bring this problem to light and get people (and companies) talking about it.

[Via AppleInsider]



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The financial world's eyes are on Apple this week after it announced record-breaking quarterly earnings. In the midst of all this...
 

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Elijah

"Apple typically asks suppliers to specify how much every part costs, how many workers are needed and the size of their salaries. Executives want to know every financial detail. Afterward, Apple calculates how much it will pay for a part. Most suppliers are allowed only the slimmest of profits.
So suppliers often try to cut corners, replace expensive chemicals with less costly alternatives, or push their employees to work faster and longer, according to people at those companies.

“The only way you make money working for Apple is figuring out how to do things more efficiently or cheaper,” said an executive at one company that helped bring the iPad to market. “And then they’ll come back the next year, and force a 10 percent price cut.”"

So this is how Apple make their profit and use the profit to build more luxury shops all around the world, and thickens the executives' big wallet. Although knowing these workers working like there is no life, Apple still don't care and keep making big bucks out of them. Goodbye! I will not support this kind of business lest I will have part, indirectly, in killing other innocent people over iDevices. I will not buy any Apple products any more. I will use the one I have until it dies by itself and then look elsewhere. Yes, of course, losing one customer means nothing to Apple.

Each of us have the freewill to choose.

Life > iDevices

January 28 2012 at 8:54 PM Report abuse -2 rate up rate down Reply
Brian A Peat

I'm just glad the people complaining aren't in charge of the economy in China. If Apple suddenly started paying the workers what American's get paid (5 to 10 times or more of what the Chinese are paid) I can't even fathom what it would do to the economy. It sounds good on paper, but suddenly creating a SINGLE group of rich workers would make all kinds of mess. There would likely be people LITERALLY killing each other to get someone's job at foxconn. I'm all for them slowly raising the pay over time, but if we were to just one day flip the switch and pretend it's America, it would be a big mistake.

January 28 2012 at 3:06 PM Report abuse +1 rate up rate down Reply
Leonard Jones

While Apple should be applauded for caring about working conditions enough to publish annual reports and be as transparent in the working conditions of the suppliers and manufacturers that they employ in China they can do a lot more honestly. One thing they can do is publish the names of manufacturers and suppliers that fail Apple's own internal manufacturing and supplier policies.

I'm an Apple consumer, I love my iPhone, iPad, and MacBook Pro, and think Apple does a lot more than other hardware companies in the computer market when it comes to labor in China. That doesn't mean they don't fall short in many ways.

The problem comes down to the fact that we've exported the manufacturing jobs that once resided in our country to China, without the labor laws that Americans fought tooth and nail for. I don't think it is unreasonable to make sure that basic labor rights like a 40 hour work week, rotation, and overtime pay (that HAS to be paid), is an unreasonable request.

January 28 2012 at 10:00 AM Report abuse rate up rate down Reply
Dave Stewart

Go read Basic Economics by Thomas Sowell.......you will find a section about 3rd world manufacturing. It serves up some marvelous perspective to situations just like this and it echoes some of the comments above by Chinese citizens

January 27 2012 at 7:45 PM Report abuse rate up rate down Reply
quiviran

For some, moving to indoor work in a sweatshop is a move-up job opportunity over recycling entrepreneur (trash picker). We keep applying our expectations to the whole world, 2/3 of which lives on less than $2 per day. Should we live a better life because theirs is so poor? Probably not. Should we not allow them to make our shoes or shirts, since they would be paid so little? Even worse. The key is "are they free to leave at their own will?" When the answer is not clearly yes (read up on American Samoan sweatshops) we should be ashamed of ourselves.

January 27 2012 at 6:49 PM Report abuse -1 rate up rate down Reply
Arin Failing

NO. Apple absolutely does not need to do anymore to ensure the safety of the workers at these companies.; it is the responsibility of the company to ensure the safety of ITS employees. The same people that cry out for Apple to get more involved are the EXACT SAME PEOPLE that will criticize Apple for getting involved in a foreign country's company policies. It's ridiculous. Does this all sound familiar? The same "human rights activists" that cried for America to aid Iraq and rid the country of a tyrannical dictator (who was slaughtering his people), are the same ones that criticized the president in charge of pulling the trigger on that liberation operation! Butt out! Let's stop putting blame on others, and take responsibility for ourselves (individually)! They're adults for God's sake; THEY are accepting the job, knowing what to expect.... AND CAN QUIT AT ANYTIME!

January 27 2012 at 3:57 PM Report abuse +1 rate up rate down Reply
Frank

When I read stories like this the issues that aren't discussed are much more interesting. Apple cares, and seems to care much more than any other company that it "rivals" i.e. HP, Dell, Sony, Microsoft. China is an economic and manufacturing powerhouse. They achieve this title by having little to no regulatory standards. The main source of China's power comes for dirty coal power plants and do you know why? Because they don't care, for them making money is more important than what they are doing to their natural resources, as well as, their population. Everyone shakes their finger at Apple for allowing doing business with a company that supposedly treats its employees with little to no respect. The fact of the matter is though, that it is CHINA who should be concerned about this. If an American worker complained about something like this it would be investigated by the US government because we have standard procedures and regulations against such conditions. In China; however, these regulations and procedures do exist, not because they couldn't but because it would impede China's growth as a country. And why is that? Because China recognizes like any intelligent Country that if they are not willing to do it then some other country will. Whether that is India, Turkey, or somewhere else, someone will step up to the plate and see the economic boom that will ensure from acquiring such a contract. I am not discounting that Apple should hold its contractors to such high standards but rather that the Country that is manufacturing the products itself should care just as much Apple. Should Apple care more about the working conditions in China or should China care? Because based on everything I have read it seems that Apple give much more consideration to Chinese workers than China itself.

January 27 2012 at 2:19 PM Report abuse +4 rate up rate down Reply
amajamus

First, this is an apple blog; do you think they are going to print something that demeans their bread and butter. Secondly, China has no free speech so again, do you think they are going to say something that demeans their government or country. Not everybody who reads this blog is naive tuaw.

January 27 2012 at 2:14 PM Report abuse -2 rate up rate down Reply
1 reply to amajamus's comment
FreeRange

That is nonsense. Chinese speak out all the time! There are tens of thousands of demonstrations every year by average people protesting government policies, unscrupulous developers, pay disputes, etc. Further, the Chinese blogsphere has really taken off and tends to be much more open in discussing serious issues and problems in China. I'm an American living in China and people do speak out, discuss issues etc. in their daily lives amongst family and friends so they are much more open than we Americans perceive. Things are changing rapidly here and will continue to change.

January 27 2012 at 11:24 PM Report abuse +1 rate up rate down Reply
spikelateen

Why do people continually point out Apply as the only company that uses Foxconn? Think about how many enterprise employees that use products made at Foxconn from companies like HP or the millions of gamers using Playstations or xBoxes? People, you buy technology, its mostly got something made in an Asian factory where conditions are crap. Either stop buying or put up. Remember, companies are nothing without consumers.

January 27 2012 at 12:48 PM Report abuse +2 rate up rate down Reply
1 reply to spikelateen's comment
amajamus

It comes with the territory of being a self-proclaimed leader and if apple would quit bashing and suing other companies the references to Foxconn probably wouldn't be as frequent. Just saying.

January 27 2012 at 2:16 PM Report abuse -4 rate up rate down Reply
1 reply to amajamus's comment
Rick Ludwig

There's no logic in your statement amajamus. Apple's lawsuits have to do with intellectual property and have NOTHING to do with manufacturing conditions.

If Apple was suing Samsung because Samsung wasn't paying their workers a fair wage, THEN it would make a difference.

January 27 2012 at 3:16 PM Report abuse +3 rate up rate down
Daniel Harris

Developing countries have poorer working conditions than America. This is nothing new and nothing specific to Apple. All electronics manufacturers out source to these countries because it's the only way to compete, and honestly things were even worse for these people before manufacturing came.

Remember that America has only achieved what we now consider decent working conditions in the last century, and that was preceded by millenia after millenia of harsh lives for our ancestors. It's unrealistic for us to expect that the entire rest of the world would have suddenly improved just because we recently did. They are developing and will improve as the country becomes more prosperous, which can only happen by getting business from companies like Apple.

January 27 2012 at 12:17 PM Report abuse +2 rate up rate down Reply
2 replies to Daniel Harris's comment
Mark Shaw

I have to agree. It doesn't just hold true for Americans but almost every where I have traveled. Most people have no idea what the rest of the world is like outside their own country, much less, in many cases outside their own town.

As far as the US city I live in, I can tell you we have plenty of our own problems that so many choose to remain ignorant of. Homeless families, starving children, etc, in a country such as ours why are these things still happening?

The media picking on Apple out of all the companies is a joke. There isn't a decent cell phone made in the US much less a cruddy one that has a market share. But yet, everyone has one. Ignorance or hypocrite?

January 27 2012 at 12:33 PM Report abuse +2 rate up rate down Reply
amajamus

If you look at the back of Samsung phones it clearly states "made in Korea." At least Samsung cares about their economy.

January 27 2012 at 2:17 PM Report abuse -2 rate up rate down Reply
2 replies to amajamus's comment
Tim M.

Have you not seen "Designed by Apple in California. Assembled in China." on the back of Apple products?

January 27 2012 at 2:40 PM Report abuse rate up rate down
Rick Ludwig

SOME of Samsung's products are made in Korea, not all.

Also, Korea isn't as bad as China, but factory workers aren't exactly rolling in the money either - their hourly pay is barely sufficent to feed a family.

January 27 2012 at 3:21 PM Report abuse rate up rate down
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