Did Underpaid Workers Help Make Apple’s New iPhone?
A new report from nonprofit organization China Labor Watch alleges that “a series of ethical and legal labor violations” occurred at a Chinese Apple (NASDAQ:AAPL) supplier factory. According to the report, the factory is producing Apple’s soon-to-be-released iPhone 5C and is owned by the U.S.-based company Jabil Circuit (NYSE:JBL).
China Labor Watch said its “report is not only evidence that Apple and its suppliers continue to infringe upon the labor rights and human rights of the workers making Apple products, it also [sic] evidence that such supplier factories are not restricted to Asian-owned factories. Jabil Circuit is headquartered in St. Petersburg, Florida.”
The organization accuses the factory of regularly giving its workers 110 hours of overtime per month, including 11 unpaid hours. China Labor Watch said that this violates China’s overtime laws as well as Apple’s own workweek limits outlined in its Supplier Code of Conduct. On its website, Apple says it “achieved an average of 99 percent compliance to the 60-hour work week” in June.