An investigation is under way after a report slammed the company for “appalling” work conditions.
Both Amazon and Foxconn are under fire after a 94-page report revealed the horrible conditions workers endure.
The New York-based China Labor Watch published the damning report on Sunday, June 10. The investigation was secretly conducted from August 2017 to April 2018 and discussed the work conditions in detail. It was carried out at the Hengyang Foxconn, a factory that predominantly manufactures products for Amazon.
Under Chinese labor law, the maximum number of overtime is 36 hours. Workers at the factory however were subjected to at least 80 hours of overtime. And instead of paying them time-and-a-half for the extra hours, they get paid the normal hourly rate.
The factory is also hiring more dispatch workers than legally allowed. The latter refer to contract workers who do not get sick pays or holidays. They can also be made redundant without salary during production slowdowns. By law, only 10% of the workforce should constitute dispatch workers but the Foxconn factory has as much as 40%.
The report also revealed that the workers were subjected to verbal abuse.
Li Qiang, executive director of China Labor Watch notified Amazon Chief Jeff Bezos of the findings. “This violates Chinese labour law. Foxconn uses a large number of dispatch workers and violates workers’ interests via these dispatch companies. This practice, in and of itself, is unethical and illegal,” he wrote.
Amazon replied that they “recognize the responsibility to ensure the wellbeing of factory workers manufacturing products for Amazon.”
Foxconn, on its part, released a statement following the report.
“We are carrying out a full investigation of the areas raised by that report, and if found to be true, immediate actions will be taken to bring the operations into compliance with our Code of Conduct,” Foxconn Technology Group said in a statement.
Foxconn is the largest hardware manufacturer in the world. It also produces products for Microsoft and Apple. In 2013, Foxconn came under fire after 17 workers committed suicide in the factory by jumping off the building.