Apple supplier Pegatron charged with overworking employees

Workers at Pegatron Shanghai work more than the maximum weekly hours fixed by Apple

Workers at the Shanghai operation of Apple supplier Pegatron work more than the maximum 60 hours a week stipulated by the iPhone maker, simply because their  wages require them to work more to make ends meet, a labor group said in a report.

The employees work more than 10 hours a day for 6 days a week, and over 83 percent of these workers clock monthly overtime hours in excess of 80 hours, according to China Labor Watch. In October last year, the average weekly working hours of over 70 percent of workers was above the limit set by Apple, it added.

The workers still earn a minimum wage and depend on overtime to make ends meet, said Li Qiang, CLW’s founder and executive director, in an email Wednesday.

Pegatron Shanghai has 70,000 employees. The report is based mainly on the analysis of data from 1,261 payment stubs collected mostly for the months of September and October last year, described as the busy season for iPhone production at Pegatron.  Workers at the factory are said to be paid US$1.82 an hour, and the overtime pay as a percentage of workers’ gross wages is as high as 42.4 percent.

Chinese labor law mandates that monthly overtime hours should not not exceed 36 hours, but at Pegatron Shanghai, the overtime hours of only 1.1 percent of workers are within this limit, according to CLW.

“The discrepancies in Apple's claimed working conditions and actual working conditions are important not only because they highlight problems in Apple's monitoring,” according to the report. “The findings also clarify that despite being the most profitable company in history, Apple does not raise the bar to a commensurate level for workers making its products.”

Apple and Pegatron could not be immediately reached for comment on the report.

Apple is currently in a heated privacy dispute with the U.S. government over a demand that it provide the FBI the tools that will allow the agency to crack by brute force the passcode of an iPhone 5c used by one of the terrorists in the San Bernardino, California terrorist attack on Dec. 2.

The Cupertino, California company said in its 2015 report on supplier responsibility that it had achieved 92 percent compliance with its 60-hour maximum workweek.

Apple suppliers including Pegatron have been often criticized for poor labor conditions, including low pay and excessive work, as they try to cut costs.  Apple said in its 2015 supplier report that violations found during its its supplier audits have offered an opportunity to make “concrete changes for the better,” including sending back to school with full tuition and salary the underage workers at some of the suppliers.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

John Ribeiro

IDG News Service
Show Comments

Cool Tech

Breitling Superocean Heritage Chronographe 44

Learn more >

SanDisk MicroSDXC™ for Nintendo® Switch™

Learn more >

Toys for Boys

Family Friendly

Panasonic 4K UHD Blu-Ray Player and Full HD Recorder with Netflix - UBT1GL-K

Learn more >

Stocking Stuffer

Razer DeathAdder Expert Ergonomic Gaming Mouse

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?