Apple has placed its main supplier on probation for labor violations. Apple has placed its major supplier Pegatron on
probation from fresh contracts. This was a result of the disclosure of student labor violations at some of the China-based facilities of the Taiwanese manufacturers.
The reports from Bloomberg also made it clear that the company noticed Pegatron its main supplier to be faking paperwork. So as to conceal going against the code of conduct of Apple for suppliers.
As it stands now, Pegatron is among the biggest supply chain partners of Apple, producing different products. Not excluding some of the latest iPhone 12 models of Apple. Well, Pegatron is now on probation for labor violations, and might not have any chance of winning or getting new businesses from Apple until the matter is settled.
Apple statement to The Verge
Here is what the company said to The Verge in a statement pointing that Pegatron has fired the manager of the program:
“We have a rigorous review and approval process for any student worker program, which ensures the intern’s work is related to their major and prohibits overtime or night shifts”.
Apple further continued:
“Pegatron misclassified the student workers in their program and falsified paperwork to disguise violations of our Code. Including allowing students to work nights and/or overtime and in some cases to perform work unrelated to their major”.
Here is Pegatron’s statement:
“Upon discovery of this non-compliant activity, we immediately took the student workers off production lines and worked with our customer. And third-party experts to make appropriate arrangements for them to return to their homes or schools with proper compensation. Alongside all the necessary support and care”.
As it is now, it seems like Apple hasn’t been convinced yet.
This is by no way the first time that the student worker program of Pegatron has gone below the spotlight. China Labour Watch ensued a report in the year 2013. Asserting unpaid overtime cases as well as underpayment of student workers at a factory of Pegatron in Shanghai.