Foxconn Abruptly Halts Hiring at iPhone Manufacturing unit Amid New Lockdown and iPhone 14 Delay Considerations


Roughly 24 hours after saying it will ramp up hiring and incentives for brand spanking new workers, Foxconn, Apple’s fundamental iPhone provider, stated as we speak it will abruptly cease hiring new employees for its plant in Zhengzhou, China, after new COVID-19 lockdowns and restrictions had been imposed on the town of almost 11 million residents.

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Simply yesterday, Foxconn was signaling it wished to rent extra employees to fulfill elevated client demand, on high of further demand attributable to provide chain constraints for the upcoming iPhone 14 sequence. Now, South China Morning Submit stories that Foxconn has suspended hiring of latest employees, saying it might “complicate” manufacturing for the ‌iPhone 14‌ lineup slated to launch within the fall.

The suspension got here on the heels of the Taiwanese firm’s plans earlier this week to spice up recruitment by providing greater money bonuses, the companies stated in posts on Tencent Holdings platform WeChat and ByteDance-owned Douyin, the Chinese language model of worldwide hit brief video app TikTok.

The transfer to droop the hiring of latest meeting line employees might complicate the iPhone 14 manufacturing schedule of Foxconn, which has run its smartphone and elements manufacturing in Zhengzhou beneath a “closed-loop” system that confines workers inside its campus.

Up to now, Apple will not be anticipated to drastically delay the launch of the ‌iPhone 14‌ sequence, because it did for the iPhone 12. In contrast to the conventional timetable, Apple was pressured to delay the launch of the ‌iPhone 12‌ until October 2020, relatively than September. DigiTimes has speculated that Apple’s provide chain woes might lead to an analogous situation this yr.

Some elements of Apple’s provide chain are on the mend, nonetheless. Quanta, Apple’s provider for the MacBook Professional, this week resumed manufacturing at its plant in China following some disruptions attributable to new lockdowns and restrictions. Throughout its earnings name final week, Apple stated it expects provide chain constraints to proceed into the subsequent quarter. Tim Cook dinner stated that Apple has achieved a “affordable job” navigating the availability chain roadblocks.

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