Cailianshe (Shanghai Editor Liu Rui) reported that the Taiwan-funded OEM company Wistron issued an announcement on Tuesday that the iPhone manufacturing factory in Narsapur Industrial Park in India was robbed, with losses of NT$100 million to NT$200 million (approximately RMB 23.28 million to NT$46.56 million), and the actual losses are not as serious as reported.
Wistron This foundry is located in the suburbs of Bangalore, the center of Indian science and technology. Thousands of Indian workers gathered at the factory on Saturday and carried out violent destruction, demanding compensation for wage arrears and improving working hours.
According to local media reports, the violent behavior of Indian workers caused more than 21,000 iPhones to be smashed and damaged, two rechargeable off-road vehicles were burned, six cars were damaged and doors and windows in factory facilities were broken, allegedly causing losses of up to NT$1.67 billion (about RMB 389 million).
But Wistron said in the announcement, "The main production equipment and warehouses of the factory have not suffered major damage as stated in the report. The initial estimated financial losses are approximately NT$100 million to NT$200 million. The company has cooperated with relevant authorities and police to conduct investigations and continue to negotiate with insurance companies."
Wistron said in the announcement, "Westron fell 1.7% on the Taiwan stock market on Monday and fell 3.22% in the early trading on Tuesday, underperforming the market.
Apple said on Monday it was investigating whether Wistron violated supplier guidelines. Apple said it is sending staff and auditors to the website and cooperating with the police's investigation. Wistron is one of Apple's largest OEM suppliers in the world.
According to Apple's supplier guidelines, third-party labor agencies should abide by legal requirements related to wages and benefits, and pay wages on time and in full. Any violation of the guidelines will damage Apple's business relationship with its suppliers and may even cause the business relationship between the two parties to be suspended. Last month, another Taiwanese-funded OEM factory, Pegasus, lost a new order for iPhone 12 for violating supplier guidelines.
Wistron has been manufacturing iPhones in India for nearly four years, and it has always been regarded by the Indian government as a successful case of introducing foreign investment and boosting India's manufacturing industry. However, the Times of India quoted an internal employee as saying that the company had continuous salary deductions, but Wistron did not agree with this. Wistron said it paid all payments to the labor agency on time every month under the contract to pay workers' wages.