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Foxconn closed-loop production continues, despite end of Zhengzhou lockdown

Foxconn closed-loop production, in which workers remain inside the campus 24/7 for up to a month at a time, is to continue – despite the fact that most of the city has been released from lockdown.

It had been hoped that a return to normal operation would improve conditions for workers, and help the company recruit new staff to replace those who left, but these hopes appear to have been dashed for now …

Background

Zhengzhou, colloquially known as iPhone City thanks to being home to the world’s largest iPhone assembly plant, was placed into lockdown last week.

In an attempt to reduce the economic impact of lockdowns, large factories are allowed to remain open by switching to closed-loop production, where workers remain in the campus 24/7 for up to a month at a time, sleeping in shared dormitories. This is obviously tough on workers, who are separated from their families and have very limited leisure opportunities.

In the case of Foxconn’s plant, things got very much worse when there was an outbreak of COVID-19 within the campus itself. Workers complained at a lack of food and medication. Significant numbers chose to break out of the plant and return to their home towns. Subsequent bonus offers had limited effect, and failure to pay them led to violent protests. Attempts to appease workers with compensation saw more than 20,000 workers leave.

Foxconn closed-loop production continues

The ending of lockdown should also have ended the requirement for closed-loop production. That would have made it easier for Foxconn to replace workers who have left, and to bring output levels back up to ease the iPhone 14 Pro shortage.

However, a Bloomberg report says that – for some reason – Foxconn has not returned to normal working conditions.

Apple Inc.’s most important iPhone assembly plant remains in a closed-loop operation that curtails workers’ movement on campus, potentially complicating the effort to resume full production.

Foxconn Technology Group is sticking with measures adopted weeks ago limiting staff movements in order to handle a Covid outbreak, according to a person familiar with operations, who asked not to be named as the information is not public.

The report notes that a few areas do remain under lockdown, and wonders whether the Foxconn campus might fall within one of them. However, earlier reports suggest that the campus itself was not within the original lockdown area, and was only required to adopt closed-loop production because workers could not travel within the city itself.

It’s possible that Foxconn is still trying to contain the COVID-19 outbreak inside the campus, or that authorities want the plant to remain isolated until everyone within it tests negative.

Either way, it looks like workers remain locked inside the plant, and that iPhone 14 Pro shortages won’t be ending any time soon.

9to5Mac’s Take

It may be that Foxconn has no choice due to infections within the plant, but the extremely tough conditions for workers need to be improved at the earliest possible opportunity. We’d hope that Apple staff remain on site to monitor the situation, and to do everything possible to accelerate the end to closed-loop production.

Photo: Jéan Béller/Unsplash

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Avatar for Ben Lovejoy Ben Lovejoy

Ben Lovejoy is a British technology writer and EU Editor for 9to5Mac. He’s known for his op-eds and diary pieces, exploring his experience of Apple products over time, for a more rounded review. He also writes fiction, with two technothriller novels, a couple of SF shorts and a rom-com!


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