Apple has issued the Supplier Responsibility Report yesterday, which gives an update on the factory conditions of their manufacturing suppliers and partners. This is Apple’s seventh report and it included 339 audits within the company’s supply chain. This is a 72% increase from their 2011 report. Apple increased supplier compliance with a maximum 60 hours work week. They caught several facilities with not paying proper overtime premiums. Apple also cut off ties with the supplier Guangdong Real Faith Pingzhou Electronics (PZ). PZ is a circuit board component manufacturer that had 74 underage labor violations. The company worked with the Chinese government to return the children to their families. Below is an excerpt from the report:
But we didn?t stop there. We also learned that one of the region?s largest labor agencies, Shenzhen Quanshun Human Resources Co., Ltd. (Quanshun), which is registered in both the Shenzhen and Henan provinces, was responsible for knowingly providing the children to PZ.
In fact, to obtain the workers, this agency conspired with families to forge age verification documents and make the workers seem older than they were.
We also alerted the provincial governments to the actions of Quanshun. The agency had its business license suspended and was fined. The children were returned to their families, and PZ was required to pay expenses to facilitate their successful return. In addition, the company that subcontracted its work to PZ was prompted by our findings to audit its other subcontractors for underage labor violations?proving that one discovery can have far-reaching impact.