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Ground Force
Apple To Share Costs On Improving Foxconn Factories (Huffington post)
* Gou did not give a number for costs or split ratio
* Says Foxconn to achieve 10 pct revenue growth target for 2012
By John Ruwitch
SHANGHAI, May 10 (Reuters) - Apple Inc and its key supplier Foxconn Technology
Group will share the initial costs of improving labour conditions at the
Chinese factories that assemble iPhones and iPads, Foxconn's top executive
said on Thursday.
Foxconn chief Terry Gou did not give a figure for the costs, but the group has
been spending heavily to fight a perception its vast plants in China are
sweatshops with poor conditions for its million-strong labor force. It regards
the criticism as unfair.
"We've discovered that this (improving factory conditions) is not a cost. It
is a competitive strength," Gou told reporters on Thursday after the ground-
breaking ceremony for a new China headquarters in Shanghai.
"I believe Apple sees this as a competitive strength along with us, and so we
will split the initial costs."
It was unclear if the split would be 50/50 or in some other ratio.
Foxconn announced in mid-February it had raised wages for workers by 16 to 25
percent, and in late March it reached an ...
Ground Force