this article concerns a number of key points concerning the nature of manufacturing and the importance of good government regulation in an economic system.
http://qz.com/109194/how-to-make-ch...our-workdays-unpaid-overtime-and-no-holidays/
A report out this morning alleges that working conditions at three Chinese factories operated by Pegatron, a Taiwanese manufacturer of Apple products, violate both Apple’s standards and China’s labor laws. China Labor Watch (CLW), a New-York based non-profit, sent undercover investigators to work at three factories in and around Shanghai. Between them, the three sites employ some 70,000 people. Theinvestigators found (pdf) a panoply of illegal and unethical practices, including:
Reports of grim worker conditions at Chinese factories producing electronics are nothing new, but Apple has had a tough time getting its suppliers to clean up their acts. Apple’s chief supplier, Hon Hai (better known as Foxconn), doubled its minimum wage in 2010 and promised to do so again last year after a spate of worker suicides.
Meanwhile, Pegatron has increasingly come under the spotlight as Apple gives it more orders to so that the iPhone maker’s can reduce its reliance on Hon Hai. Apart from mobile devices and Macs for Apple, Pegatron also makes products for several companies, including Dell, Microsoft and HP. However, CLW’s investigators were all assigned to Apple lines, including one on the “cheap” iPhone expected to debut this fall.
Though a much smaller company, Pegatron has been winning Apple contracts by offering aggressively low prices. That shows in its margins. In the last quarter of 2012, Hon Hai’s operating margin stood at 3.7%. In contrast, Pegatron’s margins were a razor-thin 0.3%, nudging up to 0.8% by the end of March.
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-why is one of our largest technology companies outsourcing its major production to china? why are SEVERAL of our largest technology companies outsourcing manufacturing to china? is this still a non-issue or simple bi-product of globalization?
this is not manufacturing toilet seats folks, these are highly valuable technology contracts that could do a lot to power the US economy now and for many years to come. manufacturing components to sell in Apple products?!?! doesnt get much more major than that.
and this is just one example. think of all the other examples out there that dont get as much press.
the govt has to bring these jobs back home, people ribs is touching out here b
http://qz.com/109194/how-to-make-ch...our-workdays-unpaid-overtime-and-no-holidays/
A report out this morning alleges that working conditions at three Chinese factories operated by Pegatron, a Taiwanese manufacturer of Apple products, violate both Apple’s standards and China’s labor laws. China Labor Watch (CLW), a New-York based non-profit, sent undercover investigators to work at three factories in and around Shanghai. Between them, the three sites employ some 70,000 people. Theinvestigators found (pdf) a panoply of illegal and unethical practices, including:
- Work hours in excess of Apple’s 60-hours-per-week standard
- Coercive conditions to discourage workers from refusing overtime or taking days off
- Restricted or non-existent breaks to drink water or use the bathroom
- Discriminatory hiring conditions such as age limits and height restrictions
- Docking of pay for minor rule violations, such as not waiting in line to get food in the cafeteria
Reports of grim worker conditions at Chinese factories producing electronics are nothing new, but Apple has had a tough time getting its suppliers to clean up their acts. Apple’s chief supplier, Hon Hai (better known as Foxconn), doubled its minimum wage in 2010 and promised to do so again last year after a spate of worker suicides.
Meanwhile, Pegatron has increasingly come under the spotlight as Apple gives it more orders to so that the iPhone maker’s can reduce its reliance on Hon Hai. Apart from mobile devices and Macs for Apple, Pegatron also makes products for several companies, including Dell, Microsoft and HP. However, CLW’s investigators were all assigned to Apple lines, including one on the “cheap” iPhone expected to debut this fall.
Though a much smaller company, Pegatron has been winning Apple contracts by offering aggressively low prices. That shows in its margins. In the last quarter of 2012, Hon Hai’s operating margin stood at 3.7%. In contrast, Pegatron’s margins were a razor-thin 0.3%, nudging up to 0.8% by the end of March.
_______________________
-why is one of our largest technology companies outsourcing its major production to china? why are SEVERAL of our largest technology companies outsourcing manufacturing to china? is this still a non-issue or simple bi-product of globalization?
this is not manufacturing toilet seats folks, these are highly valuable technology contracts that could do a lot to power the US economy now and for many years to come. manufacturing components to sell in Apple products?!?! doesnt get much more major than that.
and this is just one example. think of all the other examples out there that dont get as much press.
the govt has to bring these jobs back home, people ribs is touching out here b