Apple That

Apple just announced that the Fair Labor Association will be allowed to conduct special, voluntary audits of Apple’s final assembly suppliers. This includes companies like Foxconn factories in Shenzhen and Chengdu, China, at the bequest of Apple itself. A certified team of labor rights experts, led by FLA President Auret van Heerden, began the first inspections Monday morning at Foxconn City in Shenzhen.

According to CEO of Apple Tim Cook, “We believe that workers everywhere have the right to a safe and fair work environment, which is why we’ve asked the FLA to independently assess the performance of our largest suppliers. The inspections now underway are unprecedented in the electronics industry, both in scale and scope, and we appreciate the FLA agreeing to take the unusual step of identifying the factories in their report.”

The FLA, as a part of its assessment, will interview thousands of employees about working and living conditions, including health and safety, compensation, working hours and communication with management, since there are workers which even work from home, we can also make sure we properly monitor employees working from home if we have a lot working remotely as we need to be sure what they are doing. The FLA’s team will go through manufacturing areas, dormitories and other facilities while also conducting an extensive review of documents related to procedures at all stages of employment.

Apple’s suppliers have agreed to give full cooperation to the FLA as well as unrestricted access to every aspect of their operations. Whatever the FLA finds and recommends from the first assessment will be made public in the beginning of March. Similar inspections will then be conducted at Quanta and Pegatron facilities in the spring. Once completed, the FLA’s assessments will have covered more than 90% of Apple’s suppliers.

Apple became the very first technology company admitted to the Fair Labor Association when it was approved back in January. The FLA conducts independent monitoring as well as verification to ensure that the FLA’s Workplace Standards are upheld wherever FLA company products are created.

Source: Engadget – Apple opens up inspection of its Foxconn plants to Fair Labor Association

Apple – Fair Labor Association Begins Inspections of Foxconn

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Everybody knows that the iPad 3 is coming and Apple may be pitting suppliers against each other to assemble the next generation product. Apple is said to have awarded a contract to manufacture the iPad 3 to Taiwan-based Pegatron, according to a report from the Taiwan Economic News.

If this turns out to be true and not a rumor (yeah, cuz rumors always end up being true), then this would mean that Apple is looking to reduce its dependence on long-time partner Hon Hai as the only supplier of the award-winning tablet that is dominating the market at the moment.

Pegatron is already doing business with Apple actually. The company is responsible for building and shipping the iPhone 4 and has reportedly already landed a contract to construct the iPhone 5, whenever that may be.

Hon Hai has been the predominant supplier of the iPhone and the iPad in the past, though Apple has been looking for an additional partner to take on the production of the device. This may be due in large part to the devastating explosion that took place at Hon Hai’s Chengdu plant back in May.

Apple has faced issues with the iPad 2 as supply was unable to keep up with the increasingly overwhelming demand of the product. By branching out production of the iPad 3 to two different suppliers, the company is likely trying to avoid a similar situation with the iPad 3.

Aside from adding Pegatron to its supplier list, Apple will also keep its current supply chain intact. The report pointed to TOK Holdings providing the touch panels, Simplo Technology and Dynapack International Technology the battery packs, Largan Precision the camera lenses and Foxconn the outer PC housings.

Source: CNET – Apple reportedly looking at two suppliers for iPad 3

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