Good help is hard to find as Apple suppliers raise the amount of incentive bonuses in order to find more assembly line workers
Apple CEO Tim Cook visits a Foxconn iPhone assembly line
Ives also estimates that Apple’s Asian supply chain will deliver the number of parts needed to produce 90 million to 100 million iPhone 13 series handsets during the second half of the year.
Other iPhone suppliers besides Foxconn are looking to hire more able-bodied production workers
Other Apple suppliers are in the same boat as Foxconn is including touch screen provider Lens Technology which is recruiting 5,000 workers for its production line and another 2,000 to be quality inspectors. Those who work for more than 20 days a month for seven months will be eligible for a 10,000 yuan bonus which doubled in May from 5,000 yuan.
Another manufacturer that supplies Apple, Luxshare Precision, doubled its internal referral bonus from 2,500 yuan to 5,000 in May. Returning workers are receiving a bonus of 3,800 yuan.
Remember when Apple was talking about moving a large percentage of iPhone production out of China? At the time, there was a legitimate fear that the U.S. would impose an import tax on all Chinese made iPhone models shipped into the U.S. forcing Apple to either raise prices in the states, or accept a lower profit margin. Even though such a tax was never imposed for the iPhone, Apple has reportedly added more new suppliers from mainland China than any other country.
China remains the most important country in the iPhone supply chain as it is the home to more Apple suppliers than any other country in the world.
