In order to prepare for the upcoming release of the iPhone 16 in the fall, Apple has to ensure that it has sufficient stock in advance. The peak production period falls in between August and December. To this end, Apple's largest supplier, Foxconn, has just hired an additional 50,000 employees,as reported by Businesskorea.Its production facility in Zhengzhou, China, is also known as "iPhone City".
Due to the increased demand for the release date in September until the Christmas season, Foxconn hires seasonal workers every year. This time, however, Apple is going one step further: the company is increasing its planned delivery figures for this period by 10% to around 90 million devices. In the job advertisements placed, the hourly wage has been increased to 25 yuan, which corresponds to around $3.49. In addition, the entry-level bonus has been increased from 6,000 yuan ($837) to 7,500 yuan ($1047).
The production of the new iPhone was preceded this year by rumors that Apple would be relocating its assembly to India in response to the political conflict between the USA and China. Reports about a possible relocation of Foxconn were also in circulation. The agreement between the two companies to work together again in China can thus be seen as a sign that both parties are keen to continue their partnership on the usual terms. In recent months, it has also become known that Foxconn intends to further invest further in its Zhengzhou site. There, a test production center for electric cars is currently being built, among other things.
By increasing the hourly wage, Foxconn is responding to the strong pressure on the Chinese labor market. On the other hand, it can be assumed that the company hopes to improve its tarnished reputation, as Foxconn has repeatedly been criticized for poor working conditions in the past. Furthermore, it remains unclear whether Apple's move to India is off the table. In the ongoing trade dispute between China and the USA, the latter may paralyze production in the People's Republic with new sanctions.
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