Changes in Foxconn’s Recruitment Practices in India

By Munsif Vengattil, Praveen Paramasivam and Aditya Kalra
SRIPERUMBUDUR, India (Reuters)

Apple (NASDAQ:AAPL) supplier Foxconn (SS:601138) has instructed hiring agents to modify recruitment ads for iPhone assembly workers in India by removing age, gender, marital status, and the company name. This decision follows a Reuters investigation revealing that Foxconn had excluded married women from jobs at its main assembly plant, although this practice was relaxed during peak production times.

Foxconn employs a significant number of women at its iPhone factory in Sriperumbudur, near Chennai, and outsources recruitment to third-party vendors who screen candidates for Foxconn. However, prior job ads indicated that only unmarried women of certain ages were eligible for assembly roles, violating Apple and Foxconn's anti-discrimination policies.

After the investigation's publication on June 25, Foxconn's HR team asked vendors to standardize ads using company-provided templates. They were also advised against discussing Foxconn with the media, and strict warnings were given regarding the inclusion of specific criteria.

Foxconn's new job advertisements omitted references to marital status, age, and gender, offering a package that included benefits such as an air-conditioned workplace, free transport, and a monthly salary of approximately $177. This advertising shift suggests compliance with recent directives, despite ongoing uncertainty regarding the actual hiring practices for married women.

India is being positioned by Apple as an alternative manufacturing base to China amid geopolitical tensions, with Foxconn's operations seen as crucial to this strategy. Following the Reuters report, India's government opened investigations into Foxconn's hiring practices without publicizing findings.

Public relations expert Dilip Cherian noted that media scrutiny has likely prompted these changes in recruitment practices, but the effectiveness of such moves remains uncertain. Foxconn's chairman acknowledged the contributions of married women during a visit to India, aligning with the government's investment discussions.