Public buyers intervene over non-payment of statutory bonuses at Foxconn
When a group of workers at the Foxconn Sriperumbudur factory in India raised concerns about not receiving their statutory annual bonuses, Electronics Watch affiliates took action. Our latest Impact Story explores what happened, the importance of public buyer leverage, and some key workers' rights takeaways.
A major challenge was the factory's heavy reliance on contract labour, which contributed to job insecurity and hindered effective compliance monitoring. This made it difficult to collect evidence from workers on temporary contracts who had already left the factory. Fear of retaliation also discouraged reporting.
But following an intervention from the public buyer Apple working group, most eligible workers reported finally receiving their bonus payments. For minimum wage workers, this bonus is equivalent to a whole month's salary.
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