August 28, 2006
Foxconn sues Chinese journalists over iPod factory story
Foxconn manufacturer of the iPod has sued a reporter and an editor at a Chinese newspaper, for allegedly damaging its reputation about working conditions at its iPod factory which claimed that most employees in Foxconn’s Shenzhen factory worked more than 12 hours a day and earned only about 1,000 yuan ($ 125) a month. The company has sued Wang You a reporter for China Business News and its editor Weng Bao for 30 million yuan (US$3.77 million). In addition to the lawsuits, Foxconn has gotten a Chinese court to freeze the personal assets of both men which include apartments, a car and bank accounts. First reported by Britain’s Daily Mail, Foxconn has come under fire for poor working conditions.
The company later said it found the supplier to be mostly in compliance, but it did find some violations of its code of conduct and was working to address the issues.