Foxconn Introduces 66% Performance-based Pay Rise to Employees

Chinese factory owner Foxconn has offered its employees a 66% pay rise once they complete a three month performance review.

The company, which makes products for major consumer electronics companies such as Microsoft and Apple, are introducing the potential pay increase in a new effort to improve worker moral after a slew of suicides by employees.

The pay rise, to be enacted in October, will be “instituted to safeguard the dignity of workers”, said Foxconn founder and Chairman Terry Gou. He continued to say that the company is working “diligently” to meet all safety standards and want to ensure that working conditions are “best in class”. This performance-based rise is on top of a general 30% rise in worker wages.

The company has been under pressure after a number of suicides and alleged deaths from over work and company pressure. Last week a man had died after working a 34-hour shift in the factory, the family claimed.

Last week Apple CEO Steve Jobs called the deaths “troubling”, but noted that the Foxconn factory is “not a sweatshop”.

Via: Engadget