Abstract
In June 2006, a story appeared in the British tabloid, Mail on Sunday, accusing Foxconn of running a “sweatshop” where it produced Apple iPods. The story immediately stirred up a controversy in which the stakes were particularly immense for Apple because such an accusation could seriously tarnish its reputation particularly in the USA and the EU. After the initial wave of outraged denials, both Foxconn and Apple agreed to open the alleged sweatshops to investigation and urged that their operations be judged by the standards already established in Apple’s Supplier Code of Conduct. When the investigative report was released later that summer, it found no evidence that Foxconn used either child labor or forced labor, and while admitting that the average weekly hours of Foxconn employees exceeded the legal limit in China of 60 hours, it denied that these employees had been coerced into overtime work. A few years after the controversy appeared to have died down, it burst open again with news in 2010 regarding a wave of suicides—14 deaths in all—among mostly younger Foxconn employees. What more compelling evidence could there be for confirming that Foxconn was, indeed, running a sweatshop? Why would employees be committing suicide, if not in protest against the inhumane working conditions there?
A moralistic response to this story would have been to play the blame game, and use it to shame China into living up to the promises of Communist ideology, while demanding that Apple cut off its business with any subcontractors, Chinese or otherwise, who fail to make drastic changes in the way workers are treated in their factories. But while such a response might soothe the moral outrage of those who assume that everything made in China must be produced under sweatshop conditions, at best it reflects only part of the story. In what follows we attempt to present a fresh and unbiased study of Apple-Foxconn that raises important questions about what any company owes its workers, starting with a commitment to respect their human dignity and honor their human rights. Our intent is to move the discussion away from playing the blame game, and toward a better understanding of how and why it is in the interests of all stakeholders to monitor working conditions and improve them whenever possible.
“To increase productivity, provide safe and healthy working conditions.” (Stephan Rothlin, Eighteen Rules for ecoming a Top Notch Player, 2004)
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Notes
- 1.
When Stephan Rothlin published the predecessor to this book, namely, Becoming a Top-Notch Player: Eighteen Rules of International Business Ethics, in 2004, this chapter focused primarily on the working conditions in China’s coal mines, where the country’s growing need for energy had prompted a dramatic increase in coal mining, and an even more dramatic increase in mining accidents. Rothlin cited reports then available from government agencies in China documenting the tragic loss of life, and pleaded that the lives of mine workers and other dangerous occupations be shown an appropriate level of respect for their human dignity. As he asked at the time, “Why should a life extinguished in a mine in Muchongguo appear to be less worthy than a life destroyed in the deadly attacks of the World Trade Center in New York?” Since that time, there has been some progress in this area of mining safety, just as there has been in improved working conditions in Foxconn’s plants. Nevertheless, much needs to be done. As Jill Joyce, senior policy and research advisor at the UK’s Institution of Occupational Safety and Health, observed in a recent article, “China’s appalling mining death rate—dealing with ‘disorderly management’”: “Profit is really important everywhere and we are always battling to say good health and safety can save you money. Try having an accident; that is expensive. If companies added it all up properly they would find its worth investing in safety” (Ibrahim 2012). But this is also precisely the point of Rothlin’s rule for this chapter: “To increase productivity, provide safe and healthy working conditions.” Respecting human dignity and workers’ rights is not only virtuous, but it is also the key to productivity gains, good business practices, and increased profits.
- 2.
Mo Jihong, a Research Fellow at the Chinese Academy of the Social Sciences, reported that there are seven such major international conventions on human rights, starting with the “International Covenant on Economic, Social and Cultural Rights (ICESCR),” which China signed in 1998, and the “International Covenant on Civil and Political Rights (ICCPR),” which China ratified in 2001. Mo’s report is especially useful in detailing the process by which such conventions inform the ongoing legislative process within the National Peoples’ Congress and other government agencies. China, to be sure, is very concerned to protect its own national sovereignty and thus the process of implementing these conventions is complex, particularly when there are any apparent contradictions between existing Chinese law and rights detailed in the UN conventions. For further details, see Mo 2007.
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Rothlin, S., McCann, D. (2016). Employees: Dignity and Workers’ Rights. In: International Business Ethics. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-662-47434-1_8
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