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Home » Apple Faces Continued Allegations Within Its Chinese Supply Chain Operations

Apple Faces Continued Allegations Within Its Chinese Supply Chain Operations

August 1, 2013
GreenBiz

The report details an investigation into a number of facilities operated by Apple supplier Pegatron, where it claims to have uncovered 86 labor rights violations, including underage labor, excessive working hours, health and safety concerns and environmental pollution.

The investigation primarily focused on labor rights, but it also alleged that Pegatron's RiTeng and AVY facilities were guilty of disposing of waste water directly into the sewage system, polluting the local water source.

"Our investigations have shown that labor conditions at Pegatron factories are even worse than those at Foxconn factories," said CLW executive director Li Qiang in a statement, referring to the last Apple supplier to have faced allegations of worker rights violations. "Apple has not lived up to its own standards. This will lead to Apple's suppliers abusing labor to strengthen their position for receiving orders. In this way, Apple is worsening conditions for workers, not improving them."

In a lengthy statement, Apple said it would investigate the claims made by CLW with immediate effect.

"Our audit teams will return to Pegatron, RiTeng and AVY for special inspections this week. If our audits find that workers have been underpaid or denied compensation for any time they've worked, we will require that Pegatron reimburse them in full," the statement reads. "Our audits involve a thorough review of timecards and other documents to guard against falsification. We will investigate these new claims thoroughly, ensure that corrective actions are taken where needed and report any violations of our code of conduct. We will not tolerate deviations from our code."

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KEYWORDS Business Strategy Alignment China Global Supply Chain Management GreenBiz High Tech Supply Chain High-Tech/Electronics HR & Labor Management Labor Management logistics management Logistics Outsourcing Regulation & Compliance SC Security & Risk Mgmt Supply Chain Analysis & Consulting Supply Chain Labor Supply Chain Management Supply Chain Management: human resources and labor management supply chain solutions
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