By Marco Oehrl
Investing.com - Apple (NASDAQ:AAPL) dealt a shot across the bow to one of its suppliers after uncovering deficient working conditions.
The tech giant suspended operations for its iPhone product line at Foxconn in Sriperumbudur, India, until the inadequate working conditions are addressed.
Reuters reported that protests erupted earlier this month after 250 women suffered food poisoning.
An Apple spokesperson stated: "We require our suppliers to meet the highest standards in the industry. Regular assessments are designed to ensure standards are met... We found that some of the remote dormitory accommodations and dining rooms being used for employees do not meet our requirements and we are working with the supplier to ensure a comprehensive set of corrective actions are rapidly implemented."
Foxconn has struggled with worker conditions in the past, including a spate of suicides in 2010, with ten workers jumping from the roofs of its factories and dormitories. In response to these issues, Foxconn said it was restructuring management at the plant.
Apple shares (NASDAQ:AAPL) are trading slightly higher in pre-market trading with all eyes on how the company navigates Covid-related store closures and whether it can cross the $3 trillion mark in market cap, which is less than a 2% move away.