John Paczkowski

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Foxconn Chief Says Apple Will Share Cost of Improving Factory Conditions

Bowen Liu / Apple

Now that Apple has found itself at the forefront of the fight to improve labor conditions abroad, it might as well lead it. To that end, it has reportedly agreed to invest in manufacturing partner Foxconn’s effort to create a better, safer work environment for its employees.

At least that’s the word from Foxconn chief Terry Gou, who said as much during today’s groundbreaking ceremony for the company’s new Shanghai headquarters.

“We’ve discovered that [improving factory conditions] is not a cost. It is a competitive strength,” Gou told reporters today. “I believe Apple sees this as a competitive strength along with us, and so we will split the initial costs.”

Gou didn’t elaborate on the size of Apple’s financial commitment, or its terms. Nor did he explain if this investment is a new one, or simply part of the same deal that’s seen the two companies invite audits by the Fair Labor Association. But it’s clear that Apple is bolstering its efforts to improve labor conditions at factories where devices like the iPhone and iPad are built. And any forward movement there is welcome.

Apple declined comment on Gou’s remarks.


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