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Foxconn Plans Plant With 300,000 Workers in Central China's Henan Province [Copy link] 中文

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Post time 2010-6-29 09:01:56 |Display all floors
From Bloomberg  (excerpt)


Foxconn Technology Group, the contract maker of Apple Inc. iPhones and Hewlett-Packard Co. computers, plans to establish a factory with 300,000 workers in central China’s Henan province, the local government said.

The company is looking to hire 100,000 workers in the near- term from Henan province that will be sent for training at Foxconn’s facilities in the southern Chinese city of Shenzhen, the government of the city of Hebi, in Henan, said in a statement on its website. After completing training, the workers will have the option of returning to work in Henan, according to the June 25 statement.

Of the 800,000 workers Foxconn has in China, 157,000 of them are from Henan, the Henan Daily, based in the province, reported June 24, citing an unidentified provincial government official. Henan, China’s largest province by population, is home to almost 100 million people.

Individuals hired by Foxconn will work eight hours a day, five days a week, according to the statement on the Hebi government’s website. Workers may work a maximum of three hours overtime each day and must have at least one day per week off, according to the statement.

Basic Salary

The minimum basic salary for new workers will be 1,200 yuan ($177) a month, which will increase to 2,000 yuan after three months if individuals pass an examination, the statement said.

The statement on the Hebi government’s website didn’t say where the Foxconn factory would be located, when it may begin operations or any other details about the plans. Calls to Foxconn spokesman Edmund Ding seeking comment today weren’t immediately answered.

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Post time 2010-6-29 10:50:45 |Display all floors
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Post time 2010-6-29 10:58:00 |Display all floors

Reply #1 satsu_jin's post

Wouldn't Henan, Chongqing are better locations than high income Tianjin!

800,000 assembly worker army!
150,000 in Henan, 100,000 in Chongqing (Sichuan), 170,000 in Tianjin, and 300,000 in Shenzhen?
meaning, only 50,000 plus in Taiwan?

Salaries Rmb1,000 per month in Henan, Chongqing and Tianjin?
but Rmb2,000 per month in Shenzhen!

Relocating about 150,000 workers from Shenzen?

hmmmmmm

Interesting!

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Post time 2010-6-29 11:03:27 |Display all floors

Reply #2 NEtigress's post

Relocating is not a cheap process!

Probably FOXCONN will try to "FOX" Henan, Tianjin and Chongqing municipal governments to "share" in the relocating expense! Try imagining, one worker = 10 sq. m. Relocating 150,000 workers from Shenzhen would mean 1,5 mil sq. m for just property needed.

Cost of construction = Rmb1,500 per sq. m + Equipment cost = 2X!
You see, it'll need Rmb 2,3 billion for property investments, and new equipment to fit could be up to Rmb 6 billion!
So, Let's see the negotiations go!!!!


Interesting!

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Post time 2010-6-29 11:07:26 |Display all floors

The additional savings for the 150,000 workers expected......

....to be relocated is Rmb 800 x 12 x 150,000 = Rmb 1,5 billion!

So, Foxconn is probably looking for TIANJIN, CHONGQING, HENAN to help to share the relocation expense. It would need at least 6 years to recover the expense of relocations!

Like i said SICHUAN and HENAN is preferable.
With Henan having the advantage compare to Sichuan due to LOGISTIC COST!
Moreover, can Tianjin guarantee salaries in there will not increase above Henan? or Sichuan?

cheerios!


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Post time 2010-6-29 11:10:07 |Display all floors

Sweatshops

The future will be sweatshops as far as the eye can see.

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Post time 2010-6-29 11:17:36 |Display all floors

Reply #6 petera's post

The American Regime just "lighted the fire on the ar-se" for China and the Asian Trade Route States to increase domestic consumption to sustain economic growth!

The likely pain will be "Increase unemployment numbers in USA, UK".
(Should the UK follow suit on this strategy!)


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