iPhone Plant Unrest: Wistron Sacks V-P, Apple Puts it on Probation

Apple said Wistron will not receive any new business from them before they complete corrective actions.

A visual from the violence at the factory.

(Photo: Screenshot)

A week after several employees vandalised iPhone manufacturer Wistron Corp’s facility in Kolar, Karnataka, Apple released a statement on Saturday, 19 December, saying that the company has been put on probation and they will not receive any new business from Apple before they complete corrective actions.

Meanwhile, Wistron also released a statement on Saturday saying they "have found that some workers were not paid correctly, or on time", and are removing the vice president who oversees their business in India.

What Did Apple Say?

In its statement, Apple said that its employees and independent auditors hired by it have been working round the clock to investigate issues which have occurred at Wistron's Narasapura facility.

“Our preliminary findings indicate violations of our Supplier Code of Conduct by failing to implement proper working hour management processes. We have placed Wistron on probation and they’ll not receive any new business from Apple before they complete corrective actions.”

Apple’s statement, as quoted by ANI

“Apple employees, along with independent auditors, will monitor their (Wistron) progress. Our main objective is to make sure all workers are treated with dignity and respect, and fully compensated promptly,” Apple’s statement further read.

What Did Wistron Say?

Wistron, meanwhile, admitted in a a statement on Saturday that some workers were not paid correctly and on time. “We deeply regret this and apologise to all of our workers,” the company said on Saturday.

Taking disciplinary action – Vincent Lee – Vice President (innovation business group) of Wistron Infocomm Manufacturing India has been removed from his position, following the violence at the plant.

It has also set up a 24-hour grievance hotline in Kannada, Telugu, Tamil, Hindi and English, to ensure all workers can voice any concerns they may have, anonymously.  

The iPhone plant’s statement also comes a day after Karnataka submitted a report to the Union Labour Department. The report noted that the company did not address the malfunction in the system that records employee attendance since March 2020.

It also said that the unrest was due to the increase in working hours from 8 to 12 hours a day, and added that the attendance malfunction led to workers’ salaries being deducted.

(With inputs from ANI)