Apple Company Case Study
Apple has been one of the growing company in the technology industry today. It established in 1977 by Steve job and Steve Wozniak. Today, Apple has changed the view of technology by inviting personalized products. This Company has helped to make people’s lives so much easier with their technology. Throughout 2011, apple net sales were $108.2 million. This shows that Apple is successful in making profits. The latest incident mentioned in the case study which involved about 18 Foxconn employees who jumped off from the building to suicide. There have been reported that there were nearly eighteen workers in the China factories who attempted suicide. The reason for them to suicide was Apple and Foxconn for extreme measures. An investigation team revealed that factory workers suicide, rather than personal or social reasons they suicide due to work conditions. In the factory, an employee was not allowed to interact with each other. If they happen to do so, then the workers who broke the rule were to get penalized with a fine or were held to be in the manager office. Moreover, workers hours for weekly were up to 70 hours, with good facilities. For example, they had access to a tennis court, Swimming pools, Chess clubs, and mountain climbing. These facilities were in the factory as a showpiece, where workers were not able to take any advantage of any of those facilities after working 70 hours.
The way Foxconn treating with their employee was unethical. Also, Apple was receiving their product on time because of the unsafe environment that Foxconn created. Furthermore, Apple and Foxconn use empathy of their stakeholder and organization to build emotional bonding. Apple’s practices were unethical in using factories in China with poor workers and illegal overtime. ‘Apple conducts business ethically, honestly and in full compliance with all laws and regulations. This applies to every business decision in every area of the company worldwide’. This means Apple consider the environment, human rights, and labor responsibility. To keep up with the worldwide supply chain, Apple needs the highest standards of social responsibility, as well as they, treat workers with full respect and dignity.
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Apple asked the US Fair Labor Association (FLA) to investigate in other supplies factories on its behalf. FLA found ten facilities with underage labor violations. These facilities were failed to address the child labor problem. Therefore, where underage labor has been discovered, and suppliers were required to pay child education fees to living expense until the child turns sixteen years old. Moreover, Apple and Foxconn both have a corporate social responsibility as well as stakeholders, which include shareholder, employees, and customers. They can create higher standards for suppliers and business partners, so there will be more suppliers and more workers.
If Apple increases its employees, then the work can be done early and no employee need to work extra hours to complete their works. Furthermore, Foxconn needs to improve its working condition. Taking 70 hours of work from workers is really sweat off, therefore, Foxconn should higher more workers and give them minimum hours of work, which can be helpful for both the company and workers. Child labor is illegal in every country, but the age restriction can be different in other countries. FLA is in the corporate operation, its aim to protect workers rights. There have been always issues with overtime working and low wages. Also, child labor. It is can never be exposed because child labor is easy to hide by providing fake wages and work schedule data. Also, it is hard to prevent child labor because underage want to work to provide food for their families. Therefore, to prevent child labor Apple set a training program to keep safe form hiring underage workers. This can be helpful for both underage and facilities if the training program offers some types of little productivity to earn income to feed their families. For the factory child labor is illegal, if they still follow child labor then they can end up paying all the expense for the child until he/she turns sixteen.