Foxconn Considering Moving Production to Taiwan

Foxconn has been in the press a lot over the last few weeks because of a bout of suicides at one of its factories. The company has given raises; put nets up around the buildings to stop jumpers; hired councilors and exorcists; given more raises; and issued workers with a 'no-suicide' contract (though they took that one back because it was a little insensitive). Today we learn that the company is considering moving some of its operations to Taiwan and other countries. However, it is not immediately clear if the suicides play any role in this decision.

AppleInsider reports that Chinese-language ON.CC broke the news earlier this week, citing sources who attended the annual shareholders meeting of Hon Hai Precision (the parent company of Foxconn). If true, the move would see much of the mainland China operations moved to countries like India, Taiwan and Vietnam.

The Irish Times cites Foxconn head Terry Gou who supposedly told shareholders that the existing China factory model might not be sustainable because of a rise in production costs in China. This, coupled with an economic slowdown in Taiwan, could make the prospect of a move more attractive.

Affecting as many as 800,000 employees, the move would include the Shenzhen location that has been embroiled in controversy as of late. AppleInsider reports that Foxconn and Hon Hai have confirmed none of the information from the translated ON.CC article.

(Apple Insider and Irish Times)

Create a new thread in the US News comments forum about this subject
This thread is closed for comments
48 comments
    Your comment
    Top Comments
  • tat2demon
    Foxcon - "We are happy to announce a 300% pay increase for all employees. Now youre fired."
    26
  • FUtomNOreg
    Maybe they should build their next factory underground.
    23
  • eklipz330
    thrust2nightI meant people from other countries commit suicides.

    right under comments, there's a big red buttong that says "Add your comment". Now right under that, it says Read the comments on the forums". You can edit your post there.
    18
  • Other Comments
  • christopherknapp
    Oh great ... taller buildings.
    3
  • Pei-chen
    Quote:
    Affecting as many as 800,000 employees, the move would include the Shenzhen location that has been embroiled in controversy as of late. AppleInsider reports that Foxconn and Hon Hai have confirmed none of the information from the translated ON.CC article.

    Hon Hai did not comment or denied? I don't understand your sentence. What is "confirmed none of the information" mean?
    -13
  • thrust2night
    I meant people from other countries commit suicides.
    -12