“Apple is dedicated to ensuring that everyone in our supply chain is treated with dignity and respect. We have teams on the ground and immediately launched a detailed investigation at Wistron’s Narasapura installation in India. We are also dispatching additional Apple team members and auditors to the facility. Our teams are in close contact with local authorities and we are offering our full support to their investigation, ”said the company. The violence is estimated to have caused losses of Rs 437 million.
He had anticipated trouble and approached policeman: Wistron
The violence on Saturday is estimated to have caused losses of 437 million rupees, largely due to damage to equipment and the theft of iPhones and laptops. Some 156 people have been arrested.
TOI reported Sunday that the incident went through Apple’s scanner.
In the past, Apple has strongly criticized contract manufacturers for violating its supplier code of conduct. Last month Apple’s key supplier, Pegatron, broke the former’s supply chain rules after the Taiwanese firm asked students to work night shifts and overtime at one of its plants in mainland China. Apple’s 2020 Supplier Responsibility Progress Report showed that of the top 12 violations found in the labor and human rights category in 2019, 10 were related to working hour violations.
Sudipto Gupta, Managing Director of the Innovation Business Group at Wistron Smart Devices, said: “We are deeply shocked by the events at our Narasapura facility. We follow the law and support the authorities in their investigation. The safety and well-being of our team members is always our top priority. ”
Wistron had pledged to invest 3 billion rupees in the 43-acre Narasapura land. It has increased its headcount at the facility from 1,500 to 12,000 in three months through third-party recruiting agencies. Wistron and the recruitment agencies had signed contracts on the terms of payment to these employees, including overtime. Wistron pays the agencies after they produce invoices for the payment of wages. Sources told TOI that overtime wages were slow to tabulate and there was a delay.
Sources said Wistron had filed an advance information complaint on December 11 at the local police station. “Only four agents appeared. When the violence broke out, most of the rioters were on buses on a specific route. There is a conspiracy, ”said a source.
The incident has Karnataka concerned as Tamil Nadu and Andhra Pradesh are aggressively courting manufacturers. Three of Apple’s contract makers, Foxconn, Pegatron and Wistron, have big plans in India.
Reuters had reported that Foxconn plans to invest up to $ 1 billion to expand its factory in Sriperumbudur, where the iPhone XR is made. Pegatron’s board is said to have approved a $ 150 million investment to establish manufacturing facilities in India.
Gaurav Gupta, Senior Secretary, Commerce and Industries, Karnataka Government, said: “Whatever happened is unprecedented and regrettable … Our priority is to ensure Wistron restarts operations after the required certifications and addresses the problems appropriately. ”
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