Foxconn's Labor Practices

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Case Details:
Case Code : HROB141
Case Length : 17 pages
Period : 2006-2010
Pub Date : 2011
Teaching Note : Available
Organization : Foxconn Electronics Inc.
Industry : Electronics Manufacturing
Countries : China

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Introduction Contd...

These deaths were a result of over a dozen suicide attempts. Initially, the deaths of workers reported at Foxconn's factories were dismissed as isolated events. However, the recurrence of such incidents and deaths sparked a controversy and Foxconn's 'military style' corporate culture became the focus of media attention. Reports indicated that the deaths had followed a similar pattern - the workers, most of them young, had jumped off the buildings of Foxconn.

The tragic events led to industry observers questioning the labor practices at Foxconn. The business model followed by Chinese companies, which was based on low cost manufacturing, also came into question.

Human Resource and Organization Behavior | Case Study in Management, Operations, Strategies, Human Resource and Organization Behavior, Case Studies

According to Xinhua⁷ News Agency (Xinhua), there had been many more such incidents in the year 2010 alone but not all of them had proved fatal. Foxconn blamed the deaths on the personal problems of the workers and followed up by closely monitoring its workers for any extraordinary emotional outbursts, setting up counselling hotlines, and hiring counsellors for the workers...

Excerpts >>

7] "Apple Boss Defends Conditions at iPhone Factory," www.bbc.co.uk, June 02, 2010.

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