Foxconn is offering big bonuses to entice workers back to its Zhengzhou, China factory after labor unrest over a pay dispute saw employees walk out.
as the company moved to control the outbreak through isolating infected people.
But with workers walking out of the factory, Foxconn is now trying to make up a shortfall in staff that is threatening global iPhone supply. Foxconn said Tuesday that it will give a 500 Chinese yuan payment to returning workers, a 3,000 yuan bonus for those who stay more than 30 days and a 6,000 yuan January bonus. It comes a day after the company said it would pay wages of up to 13,000 yuan for some workers in December and January.
The Zhengzhou protests and walkout is likely to have a revenue impact on Apple, according to a note published by Evercore ISI on Monday. Evercore ISI analysts said that iPhone demand could be affected by 5 million to 8 million units in the December quarter, mostly at the high-end of Apple's smartphone range, and that could negatively impact revenue by $5 billion to $8 billion.
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