Following yesterday’s report by the Fair Labor Association (FLA) into working conditions at Foxconn and the announcement that Apple and Foxconn would be taking action to bring working conditions into compliance with FLA standards, Reuters reports that many Foxconn workers are unhappy with the impact these changes will have on their income.
Among other concessions, Foxconn has reduced overtime for its 1.2 million workers with a promise of adjusted compensation to offset lost income. However, the Reuters report notes that many workers are concerned that their pay will still be cut as well due to the fewer number of hours worked. Foxconn plans to reduce working hours to 49 per week, including overtime, with a maximum cap of 36 hours of overtime per month for each employee. Many Foxconn employees make a significant portion of their income from extended overtime and the move has workers unhappy with the new limitations which they feel will result in lost wages. Although specific details have not been provided, Foxconn for its part has agreed to develop a “compensation package that protects workers from losing income due to reduced overtime,” although it seems workers may be having difficulty coming to terms with the idea of earning the same pay while doing less work.