Apple supplier on probation; tech giant will not award it new business until problems at India facility addressed


Apple Inc. has put a supplier, Wistron Corp., on probation after violence took place at the supplier facility near Bengaluru, India, Reuters reported. Apple will not award the company new business at Wistron’s iPhone factory until it has addressed the way workers were treated. Apple noted the company breached its “Supplier Code of Conduct.”

Violence broke out at the facility over alleged nonpayment to contingent workers, according to press reports, and iPhone production was temporarily stopped. One official said staffing firms at the facility could be blacklisted for failing to pay wages and that there were 8,500 temporary workers at the site.

However, staffing firms said last week they are looking into the situation and have a zero-tolerance policy for noncompliance.

CNN reported that Apple had placed another supplier, Pegatron, on probation last month for violating its labor code by having some student workers in China work nights and overtime. However, CNN reported a protest against Pegatron last week that included up to 500 temporary workers.

Apple regularly monitors suppliers and releases an annual report on steps it’s taking to ensure compliance with Apple’s rules. The most recent report came out last May.