With Apple expected to reveal the iPhone 16 in September, Foxconn has reportedly hired 50,000 seasonal employees to handle the demand of the peak production period. This increase also suggests that Apple isn’t moving its production from China to India as rumored, at least for the time being.
According to Businesskorea, the production facility in Zhengzhou, China, regularly makes seasonal hires between August and December to facilitate Apple’s smartphone production. Thanks to the Silicon Valley company’s planned 10% increase in delivery, Foxconn has made concerted efforts to hire as many people as required, as it has previously while working on some of the best Xiaomi phones.
Foxconn increased the hourly wage to 25 yuan (roughly $3.49) and bumped the entry-level bonus up by 1.5k yuan in an attempt to entice more applicants. There’s also speculation that the improved wages could be a way for the company to repair its reputation for poor working conditions or to compete with increasing competition in the Chinese labor market.
Rumors previously suggested that Apple planned to move its smartphone production to India to avoid issues caused by ongoing trade disputes between the USA and China. However, this renewed partnership trashes those rumors for now. It’s likely that Foxconn’s Zhengzhou location will now remain the “iPhone City” at least until the expected end of the iPhone 16’s peak sales period in December.
Not only is production well underway at Foxconn, but Apple is also reportedly anticipating substantial display shipments from LG and Samsung. While the best Samsung phones have long been Apple’s biggest threat in the market, the display business is separate and has benefitted from Apple’s dominance in recent years. If sales hit Apple’s expectations, we can only anticipate the iPhone 16 to strengthen the brand’s relationship with its manufacturing partners.