Apple Inc (NASDAQ:AAPL) and its main iPhone manufacturer Foxconn are reportedly offering unhappy workers bonuses to try and quell the violent protests that have erupted in the Chinese factory compounds this week.
The protests come as China today reported its highest number of new Covid cases since the pandemic began, with 31,444 new infections.
Videos released via social media showed running battles between workers and hazmat-suited police, appearing to show beatings and objects thrown.
郑州富士康工人抗议进入第二天，大批特警赶来，专门抓落单的工人殴打，工人们操起铁棍、栏杆与特警对打，这回是真的暴动了。 pic.twitter.com/EgKdniSMyW
— 方舟子 (@fangshimin) November 23, 2022
With Apple expected to take a 5% hit to iPhone sales this quarter as a result of the protests and other issues hitting supply, the Chinese contract manufacturing giant apologised for a "technical error" in its payment systems as the protests were said to have started after many workers travelled long distances to take jobs at the factory but were met with much lower pay than had been advertised.
One employee told media he had left a job elsewhere when he saw an advertisement promising a rate of pay significantly higher than the average pay in the area but was told by Foxconn when he arrived that he had to work two months at lower pay before receiving the higher rate.
On Thursday, Bloomberg reported that Apple and Foxconn are offering 10,000 yuan (US$1,400; £1,150) to workers who want to leave in an effort to try and appease protesters.
Another worker told the BBC that he had received 8,000 yuan ($1,120; £926) and was set to receive another 2,000 yuan and that he and his colleagues would return to the factory.