Apple and its supply chain partner Foxconn have successfully lobbied for labor changes in India as Apple continues to shift more production into the country. According to a report from the Financial Times, these changes increase the number of hours factories can operate, nearly double the amount of allowed overtime, and more.
Apple and Foxconn in India
Today’s report indicates that Foxconn and Apple were two of the primary drivers behind lobbying for these labor changes in India. One of the biggest changes introduced is that “two-shift production” can now take place in India, something that has long been the standard in China.
Under these rules, production can run for two 12-hour shifts around the clock. This is a notable increase from the previous limit of two nine-hour shifts per day.
Other changes include:
- Maximum working hours per week are capped at 48 hours
- Overtime is capped at 48 hours per week
- Allowable overtime per three-month period has increased from 75 hours to 145 hours
- Rules on night-time work for women have been eased
These changes come as Foxconn and Apple dramatically increase their reliance on India for production. Just last week, a report highlighted a massive new Foxconn plant coming to India. Bloomberg also recently reported that Apple is reshuffling its sales organization to put a bigger focus on India, primarily by making it its own “sales region” at Apple for the first time.
The transition to more production in India, however, hasn’t been without speed bumps. A report last month highlighted how a 50% rejection rate for iPhone casings produced by an Indian company is a stark illustration of the difficulties Apple faces in reducing its dependence on China.
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