It was announced that more than 20,000 employees working at the factory of Foxconn, Apple’s largest supplier in China, were laid off.
More than 20,000 employees at the company’s 2317.TW plant left their jobs on Friday, Reuters cited Foxconn sources.
The departures from the world’s largest iPhone factory have dealt another blow to the Taiwanese company, which has been grappling with the premiums crisis fueling discontent among workers and strict COVID-19 restrictions that cut production ahead of the Christmas holidays.
It is estimated that layoffs will severely interrupt iPhone production.
Foxconn accepts responsibility and apologizes
Taiwanese manufacturing company Foxconn has admitted responsibility for the protests over the postponement of premium payments for workers at its iPhone factory in Cingcou, the central city of China’s Hnan province.
In the statement made by the company, it was stated that the premium payments of the newly hired workers were miscalculated “due to a technical error” and that “the concerns of the employees will be addressed and their reasonable demands will be fulfilled”.