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Chinese workers who often spend more than 60 hours per week assembling iPhones and iPads will have their overtime hours curbed and their pay increased after a labor auditor hired by Apple Inc. inspected their factories.
The company employs 1.2 million workers in China to assemble products for Apple, Microsoft Corp., Hewlett-Packard Co. and other pillars of U.S. technology.
But iSuppli's figures suggest that if Apple were to absorb a Foxconn wage increase that keeps salaries level while cutting average working hours from 60 to 49 per week, it would pay less than $2 extra to have an iPhone made.
Apple enormous profits — $13 billion in October-to-December quarter — have made it the world's most valuable company, worth more than $570 billion.
"The report will include new promises by Apple that stand to be just as empty as the ones made over the past 5 years," said SumOfUS.org, a coalition of trade unions and consumer groups, ahead of the release of the report.
"We share the FLA's goal of improving lives and raising the bar for manufacturing companies everywhere," it said in a statement.
The US Fair Labor Association (FLA) was asked by Apple to investigate working conditions at Foxconn after reports of long hours and poor safety.
The FLA says it has now secured agreements to reduce hours, protect pay, and improve staff representation.
Apple said it "fully accepted" the report's recommendations.