As Foxconn plans to expand its Apple production to India, both companies – among many others that seek the same path – lobbied for a broader labor reform, which led to new legislation that allows 12-hour shifts as well as night-time work for women with similar practices the manufacturer has in China.
According to The Financial Times, this labor reform will impact the southern Indian state of Karnataka, where Apple and Foxconn plan to assemble iPhone models in a 300 acres factory.
A previous report said Apple could employ up to 100,000 workers for the peak iPhone production, which is half of what Foxconn currently employs in China, at its iPhone city factory in Zhengzhou.
Yesterday, BGR reported on two Bloomberg stories regarding Apple’s expansion to India. The first one shows the Cupertino firm is making India its own region for sales operations. According to Mark Gurman, with the company’s sale vice president for India and Africa retiring, Apple will promote Ashish Chowdhary AS the current head of the country.
In addition, the business chief of GoerTek, Apple’s AirPods maker, said in an interview with Bloomberg News that Apple suppliers want to exit China as geopolitical tension rises. Then, the publication reported that he had left the manufacturer for personal reasons.
Bloomberg implies that Kazuyoshi Yoshinaga is leaving GoerTek due to this interview, as Apple’s suppliers rarely comment on their thinking. While Yoshinaga described how big US names are “pressuring their Chinese suppliers to explore alternative production bases beyond the country, such as India and Vietnam,” it didn’t say Apple is specifically making this move.
As the publication outlines, the problem is that if Tim Cook admits China will stop being a priority, it would mean all the investment and ecosystem created, which employs millions of people, would fall. In addition, the Chinese government could make it difficult for Apple to continue operating its business in the country as it is.