Foxconn Chairman Addresses Hiring Controversy at Indian iPhone Plant

Young Liu, chairman of Foxconn, has addressed concerns regarding the company's hiring practices at its iPhone assembly plant in India. His statements come in response to a Reuters investigation that prompted government scrutiny.

At the inauguration of a new hostel complex for workers near Chennai, Tamil Nadu, Liu emphasized the company's commitment to gender equality. "Foxconn hires regardless of gender, but women make up a big part of our workforce here," he stated. Liu also highlighted the significant contributions of married women to the company's operations.

The hostel complex, described as "exclusive" for 18,720 Foxconn women workers, is situated near the iPhone manufacturing facility. This development is part of Foxconn's expanding presence in India, which began approximately 5 years ago as the company sought to diversify its manufacturing base beyond China.

The controversy arose from a Reuters report published two months ago, alleging that Foxconn systematically excluded married women from jobs at its main India iPhone assembly plant. The report suggested that this practice was based on the assumption that married women have more family responsibilities than their unmarried counterparts.

In response to these allegations, Foxconn acknowledged some lapses in hiring practices in 2022 but stated that it had addressed these issues. The company "vigorously refutes allegations of employment discrimination."

The Indian government, led by Prime Minister Narendra Modi, has ordered a detailed report on the matter. Labor officials have visited the iPhone factory to question executives, although no findings have been released yet.

Foxconn disclosed that its main India iPhone factory employs 41,281 people, including 33,360 women. Of these women, approximately 2,750, or 8%, are married. However, the company did not provide a breakdown of staffing figures for specific areas such as iPhone assembly, where the alleged discrimination was reported to have occurred.

As Foxconn continues to expand its operations in India, including plans to manufacture AirPods and enter chipmaking, the company faces the challenge of adapting its management practices to the local context. This expansion aligns with India's "Make in India" initiative and Apple's strategy to diversify its supply chain.

The ongoing controversy highlights the complexities of global manufacturing and the importance of adhering to local labor laws and cultural norms. As Foxconn navigates these challenges, its actions will likely be closely monitored by both the Indian government and international observers.