Foxconn Plans Plant With 300,000 Workers in Central China's Henan Province

Foxconn Technology Group, the contract maker of Apple Inc. iPhones and Hewlett-Packard Co. computers, plans to establish a factory with 300,000 workers in central China’s Henan province, the local government said.

The company is looking to hire 100,000 workers in the near- term from Henan province that will be sent for training at Foxconn’s facilities in the southern Chinese city of Shenzhen, the government of the city of Hebi, in Henan, said in a statement on its website. After completing training, the workers will have the option of returning to work in Henan, according to the June 25 statement.

Foxconn’s plans for the Henan factory come after at least 10 of its employees in Shenzhen committed suicide this year, spurring the company to hire counselors, install netting on buildings and double pay for its workers in the southern Chinese city. The Taipei-based company last week hired outside managers to run employee dormitories in Shenzhen in what it called a shift to a “more open” style of management.

Of the 800,000 workers Foxconn has in China, 157,000 of them are from Henan, the Henan Daily, based in the province, reported June 24, citing an unidentified provincial government official. Henan, China’s largest province by population, is home to almost 100 million people.

Individuals hired by Foxconn will work eight hours a day, five days a week, according to the statement on the Hebi government’s website. Workers may work a maximum of three hours overtime each day and must have at least one day per week off, according to the statement.

Basic Salary

The minimum basic salary for new workers will be 1,200 yuan ($177) a month, which will increase to 2,000 yuan after three months if individuals pass an examination, the statement said.

The statement on the Hebi government’s website didn’t say where the Foxconn factory would be located, when it may begin operations or any other details about the plans. Calls to Foxconn spokesman Edmund Ding seeking comment today weren’t immediately answered.

Shares of flagship unit Hon Hai Precision Industry Co. increased 0.4 percent to NT$121 in Taipei trading as of 12:33 p.m. local time.

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