Foxconn issues apology following iPhone plant protest
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Foxconn, which trades as Hon Hai Technology (OTCPK:HNHPF), issued an apology following worker unrest at its main iPhone plant in China.
The workers became frustrated after they did not receive the bonuses that were promised to them to stay working on iPhone production as the manufacturer works under a closed-loop system to limit the spread of COVID-19.
Foxconn attributed the delay in bonus payments to a "technical error" and apologized to workers. It found the technical error during the onboarding process of new workers.
The firm assured workers in its statement that the bonus payment will be the same as agreed. An unnamed Foxconn source told Reuters the company had reached "initial agreements" with employees to resolve the dispute and production was continuing.
Video footage circulated on social media of hundreds of workers protesting at Foxconn's iPhone plant. It was seen by Seeking Alpha but not independently verified, and shows workers smashing windows, resulting in people in hazmat suits confronting them.
Located in Zhengzhou city, Foxconn's main iPhone plant is also the world's largest. Apple (NASDAQ:AAPL) has previously said COVID-19 restrictions in China would result in lower iPhone 14 shipments than previously expected.