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Foxconn Blasts Worker, Media after Mexico Factory Fire

Posted by: Bruce Einhorn on February 22, 2010

“Misleading and twisted.” That’s what Taiwanese electronics giant Hon Hai Precision is saying about coverage of a conflict with some workers at a factory in Mexico owned by its Foxconn Technology Group. Hon Hai spokesman Edmund C.A. Ding today released a statement saying that buses that usually transport workers back from the Foxconn Juarez Santa Teresa campus at the end of the night shift didn’t show up on Feb. 19. The statement said 30 people in the waiting area covered their faces with bandanas and started “spreading malicious rumors of how Foxconn would not give overtime pay for late bus to agitate the crowd.” The workers tried to prevent the bus from reaching the campus, the statement continues, and employees started a fire in a community center. The company said the incident had been planned in advance by a former employee with a “personal score to settle.” Foxconn says it will pursue legal action against the former employee only, and not any other workers involved.

As it has done in the past, Hon Hai also is targeting the media. “The Group will take legal action against any malicious manipulation of media to spread erroneous rumor to cause harm to the Group,” the statement says. Hon Hai has shown that it’s not shy about going after reporters. In 2006, the company sued two Chinese journalists for defamation, only to withdraw the suit following a storm of criticism from the Chinese blogosphere. That strategy didn’t work in a country not exactly known for being media friendly, though. We’ll see whether it fares any better in Mexico.

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Reader Comments


February 23, 2010 01:14 AM

Hon Hai Precision is the King of original equipment manufacturing, but the company is mainly involved in business2business rather than business2consumer, the business model bring off some risks as well as bring some risks! If Foxconn model after Apple which spend most energy in designing and marketing, the above case would be much less likely to happan. Although there would be other headache.


February 23, 2010 08:38 AM

So...They expect everyone to believe that One Person somehow convinced everyone else to stop buses that were coming to pick them up to take them home, and because the buses were late, they rioted?
And they expect us to ignore the complaints of hundreds, even though there is undeniable evidence that supports their complaints?


February 25, 2010 07:21 PM

I worked in juarez facility as a technician and the managers use to make operators to work overtime against their will, if they dont do what they are told to , they get fired with no benefits since they are not hired by foxconn but by an employment agency , they have no benefits and the salaries are a joke, i witnessed a lot of crap been done by those agencies and the company itself


February 25, 2010 07:32 PM

I live here in Juarez. They basically forced workers to stay overtime from 10PM to 4AM. Why workers were forced to stay inside and locked up even if there's problem with the bus ?

Typical Taiwanese sweatshop !!!


February 26, 2010 01:21 PM

If this was the work of ONE employee, why do they state that the WORKERS tried to stop the buses from reaching the plant?


March 3, 2010 06:23 PM

This is a cost savings ODM producer. If they paid real wages and benefits, offered great career advancement and cared about the work-life balance of thier employees they would not be a "cost savings" operation. Immorality is king with the ODM's these days.

This last year is the first time in my life I have rooted for Labor Unions.


March 8, 2010 07:20 PM

"So...They expect everyone to believe that One Person somehow convinced everyone else to stop buses that were coming to pick them up to take them home, and because the buses were late, they rioted?"

Hey Scott... so they expect everybody to believe that One Person somehow convinced a nation to commit genocide against a whole race of people. Oh wait.. that actually happened. He was called Hitler.

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BusinessWeek’s team of Asia reporters brings you the latest insights on business, politics, technology and culture from some of the world’s biggest and fastest-growing economies. Eye on Asia’s bloggers include Asia regional editor Bruce Einhorn, Tokyo reporter Ian Rowley, Korea bureau chief Moon Ihlwan, Asia News Editor and China Bureau Chief. Dexter Roberts, and Hong Kong-based Asia correspondent Frederik Balfour.

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