As per the recent reports, Apple Inc. has put one of its suppliers ‘Wistron Corp’ on probation. On Saturday, Apple Inc. released a statement stating that it will not award anymore work to the Taiwanese supplier. Apple Inc. quoted the recent incident that took place in the Indian plant of the Taiwanese manufacturer.
The company stated that until Wistron Corp addresses the way that the workers were treated at the Southern Indian plant, the supplier will be on probation. In addition to the probation, the manufacturer will not be awarded any work until a report has been provided.
After the incident at Wistron Corp’s Southern Indian plant, Apple Inc. ran an audit report against it to come up with their findings. The early stages of the audit conducted on the incident revealed that the violations made at the plant were for the ‘Supplier Code of Conduct’.
The technological giant that Apple Inc. tasked with conducting the audit was Cupertino who provided the company with its initial findings.
In the statement, Apple Inc. revealed that the contract workers ran havoc at Wistron Corp’s Karnataka plant. The company also revealed why the contract workers had caused so much violence at the plant. The main cause that drove the contract investors to this verge were unpaid wages.
As a result, the investors became extremely angry destroyed gears, iPhones, and property at Wistron’s plant. Therefore, in order to control the situation, Wistron Corp has to shut down the plant until the issue had been resolved.
Apple Inc. revealed that this conflict between the contract workers and the management had started building back in October and December. The problem started when Wistron Corp’s management failed to allocate and implement accurate working hours for the plant workers.
As a result of this mismanagement, there were issues and delays caused by the salary processes leading to further conflicts. This information was later confirmed by Wistron Corp’s management that they had some problems that led to some of the workers getting paid with a delay.
Wistron Corp revealed that it was already in the process of dealing with the conflict and had already put necessary actions in place. The company stated that they were already in the process of removing the executive who was overseeing the company’s business in India and was failing to do it in the right manner.
After the confirmation of the incident and mismanagement by the responsible entities at Wistron Corp, Apple Inc. has issued the supplier with a corrective notice. Following the issuance of the corrective action, Apple has announced that from this point onward, it will continue to monitoring Wistron Corp’s activities in the particular plant. In addition to this, it will also keep a close check on Wistron Corp’s conduct at plants based in other countries.