Apple Is Inching Away From Foxconn?

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Let's all hope this story turns out to be true. If Apple dumps Foxconn, others are sure to follow.

Unnamed sources tell The Wall Street Journal that Apple is expanding its roster of manufacturers so that it won’t have to depend so heavily on Foxconn parent company Hon Hai going forward. The Journal’s sources say that a combination of factors, including public relations headaches caused by Foxconn’s controversial labor practices and poor yields of the iPhone 5 last year, have led to rising tensions between the two companies.
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yep, Foxconn has had a lot of press. They could just get bought out by a new company then Apple could keep sourcing to them and apple consumers would forget the bad reputation that Apple products are made with child slave labor.
 
Well, there really is no excuse for it. Apple customers are paying huge profit margins to the company for their products, and it would only take a tiny fraction of those margins away to assemble them with more reasonable conditions for the workers, and in fact could be made right here in the US (our unemployment is high enough, be about time to get those wellfare queens out of their homes from popping out babies, and assembling hardware... its not rocket science). Product prices don't have to change at all, and the board members will still get unbelievably rich each quarter and not feel the impact, and the good press can help sales.

After all, it is pretty rediculous when your typical Apple consumer is spending extra for cage-free eggs just so the chickens lives aren't so miserable, because they can afford the small difference in price for good karma, and yet buy generally overpriced electronics built in slave labor conditions.
 
Ducman69 said:
Well, there really is no excuse for it. Apple customers are paying huge profit margins to the company for their products, and it would only take a tiny fraction of those margins away to assemble them with more reasonable conditions for the workers, and in fact could be made right here in the US (our unemployment is high enough, be about time to get those wellfare queens out of their homes from popping out babies, and assembling hardware... its not rocket science). Product prices don't have to change at all, and the board members will still get unbelievably rich each quarter and not feel the impact, and the good press can help sales.

After all, it is pretty rediculous when your typical Apple consumer is spending extra for cage-free eggs just so the chickens lives aren't so miserable, because they can afford the small difference in price for good karma, and yet buy generally overpriced electronics built in slave labor conditions.
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Hypocrits eh? lol
 
maxius said:
they will move manufacturing to the states and pay a fair wage not like they can not do this with 300+ billion in the bank
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With the profit margins on their devices they could absorb U.S. labor costs and still turn a great profit.
 
bpmurrGT said:
With the profit margins on their devices they could absorb U.S. labor costs and still turn a great profit.
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or they could make them somewhere else and get a greater profit. For what purpose would they use US workers?
 
Jospeh said:
or they could make them somewhere else and get a greater profit. For what purpose would they use US workers?
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Other than bringing jobs back to the US, especially manufacturing jobs, there isn't a great benefit to do so for any US-based company.

Why?

US employees are too damn expensive (and demanding). We want full benefits, company covered/subsidized medical insurance, better than minimum wage pay, and in some places, union protection from the union mafia.

It's a sad, blunt reality we have here. Our manufacturing jobs which helped a great deal of the US economy in the early twentieth century is gone now. We've moved towards more technical and service-related jobs. College graduates today are even feeling the pinch from this-- they can't find the jobs for their BS and MS degrees in our own country.

Hire someone here and pay them $30k to $70k a year would cut into a company's profites and a CEO's bonus checks.

Hire someone in East Asia, India, or South America and pay them pennies to dollars a day, and a company can reap in greater profits. At the same time, the only US-based employees they'd hire are customer service reps, technical-related jobs and other service-based jobs. College degree? Forget it, you'll be too expensive to hire. Even my boss said it to us bluntly is that businesses will not hire someone with the college degrees, but someone that had not only experience in the job they're applying for but didn't negotiate higher pay or what they wanted to be paid for.

In other words, do you hire someone with a college degree demanding he should be paid for that degree or hire someone that has a couple years job experience in that field and doesn't negotiate pay and benefits? You hire the latter over the former.

For Apple to bring manufacturing jobs here in the US without cutting into profits means requiring the minimum needed only to manufacture one or two products. You don't hire over a 1000 and expect to pay each employee $50 to $70 an hour, and expect to turn a profit on that one product. No, hire only what's needed such as Apple only adding 300 jobs to one manufacturing facility to make the Mac Pro. That's all you need.

But, what Apple can pay 300 Americans to make one product can probably be used to hire 3 times that to make three or four products for a global scale. For example, Foxconn and the iPhone and iPad in Taiwan versus a niche group of consumers buying the Mac Pro.
 
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