June 4, 2012

Comparing Apple to Others

In light of the publicity around conditions at some of Apple Inc.’s supplier factories in China, the iPhone maker welcomed independent factory audits by the Fair Labor Association (FLA). But don’t expect Apple’s rivals to follow its lead, Bloomberg Businessweek reports. Instead such big name rivals as Microsoft Corp., Dell Inc., and Hewlett-Packard Co. are sticking to internal checks that may leave room for violations—and negative public relations according to Bloomberg. These companies rely on their own evaluations, based in part on guidelines from the Electronic Industry Citizenship Coalition (EICC), which they say are sufficient to prevent abuses.

While the EICC sets standards for ethics, worker safety and labor practices, it doesn’t require members to disclose findings and it lacks enforcement powers Bloomberg Businessweek reported. The result is a disjointed system of self-imposed regulations that fail to hold companies accountable when abuses arise, according to labor advocates and technology executives.

Bloomberg quoted one chief executive officer of a California-based maker of telecommunications equipment who called the EICC "toothless." The Bloomberg Businessweek article also included a statement from an EICC spokeswoman that the group is not aware of a factory losing business for failing to meet EICC guidelines. She said EICC does not require companies to make public their deals or ongoing business with their partners.

The working conditions at the Foxconn Technology Group’s manufacturing plants has drawn strong criticism. Employees face 11-hour days, six days a week, and those working on iPads face assembly lines that are too fast to allow for any break or rest according to China Labor Watch.