Foxconn Investigates Student Intern Hours After Overtime Breach

Foxconn Technology Group, the world’s largest contract manufacturer of electronics, is investigating practices at its Yantai plant in China after interns worked overtime in breach of company policy.

Foxconn has taken action to ensure compliance with its code after finding “instances” of interns working night shifts and overtime, it said in a statement yesterday. The company will monitor its student programs to ensure such infractions aren’t repeated.

The assembler of Apple Inc. (AAPL) iPhones and iPads has been criticized by activists for its work practices since suicides by at least 10 workers in 2010 led to factory inspections and the installation of safety nets to catch building jumpers. Foxconn had resolved 98 percent of 360 employee condition issues raised by the Washington-based Fair Labor Association, the group said in May.

Foxconn’s student programs offer “practical work experience and on-the-job training” of value to graduates, according to its statement. Interns have the right to stop participating in the program at any time, it said.

Internship programs at three plants were canceled after workers as young as 14 were discovered last October.

Taipei-based Foxconn, whose flagship is Hon Hai Precision Industry Co. (2317), cut general working hours to a maximum of 60 hours a week in a step toward meeting the standards of Apple Inc. and Chinese regulations, the FLA said in May.

The company more than doubled wages after protests from worker groups over conditions in a supply chain that includes Microsoft Corp. and Sony Corp. (6758)

Foxconn assembles Sony’s PlayStation 4 console in Yantai, Cnet reported.

To contact the reporter on this story: Yu-Huay Sun in Taipei at ysun7@bloomberg.net

To contact the editor responsible for this story: Michael Tighe at mtighe4@bloomberg.net

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