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Foxconn wants to raise prices to offset wages

Foxconn wants to raise prices to offset wages
0 CommentsPrint E-mail CCTV, June 10, 2010
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Foxconn will seek higher prices from clients to help offset wage increases at its plant in southern China. The move comes after a string of employee suicides.

 

The company also plans to shift some production to Taiwan, Central China, Southeast Asia and India to ease employees' workload. Shareholders recently held their first meeting in Hong Kong since the deaths.

Foxconn owner, Terry Gou, announced the company will increase its wages across the board by 5 billion yuan, or more than 730 million US dollars. Production line workers' monthly pay has risen from 12-hundred yuan to 2-thousand yuan. The wage rise will come into effect next month, and is forecast to hit Foxconn's fourth quarter profits.

 

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