Apple is suffering from low iPhone sales in the year 2019. In order to compensate, Foxconn is cutting 50,000 workers earlier than expected. While this is not unusual, but the contractors were let go earlier than the appropriate time to renew the contract.
An unnamed source claims that the workers are from the Foxconn factory in Zhengzhou, in China’s Henan Province. With that said, the factory is responsible for the bulk of iPhone production. The reason for cutting off the force may be a direct response to Apple scaling down iPhone production.
It’s unusual for Foxconn to ask the workers to leave beforehand the contract. Usually, the contract renews on a monthly basis from August until mid-to-late January.
Another company that asks the workers to leave is Pegatron. Well, this is Appl’es second largest assembly company. Occasionally, the company has a workforce of 200,000 during peak season. The workforce gets an of tens of thousands reaching 100,000 to sustain the regular production. But this time around the company reduces its workers earlier than we expect.
The slower smartphones sales are the significant cause of Foxconn cutting of jobs. What do you think? Do let us know in the comments section below.