Appendix 1, Part 1
FU TAI HUA INDUSTRIAL (SHENZHEN) CO. LTD.
BUSINESS UNIT NAME:
iDPBG (iPhone Assembly Unit) Guanlan
FLA AFFILIATED BRAND IN PRODUCTION:
SHENZHEN / CHINA
NUMBER OF WORKERS:
DATE OF ASSESSMENT:
14-17 FEBRUARY 2012
NUMBER OF WORKERS INTERVIEWED ON-SITE:
NUMBER OF WORKERS INTERVIEWED OFF-SITE:
NUMBER OF MANAGERIAL STAFF INTERVIEWED:
EMPLOYMENT FUNCTION: RECRUITMENT, HIRING AND PERSONNEL DEVELOPMENTFINDING TYPE:
Sustainable Improvement Needed
• Factory requires workers –except short term workers and interns – to sign a three year contract that providesfor an extended probation period of 6 months. However, in the FLA benchmarks, the probation period limit is3 months.• No specic policy and/or procedures related to some special categories of workers were available , e.g. , shortterm workers and interns. This issue was resolved in the following week.
Local Law or Code Requirement:
FLA Workplace Code (Employment Relationship Benchmark ER.7; and Compensation Benchmark C.3).
• Since Apple only recently afliated with the FLA, and has yet to fully align its policy and procedures andCode of Conduct with FLA standards and benchmarks, Apple suppliers have not been informed of the FLA requirements.• China’s Labor Contract Law Article 19 allows an extended probation period of up to 6 months in three-yearemployment contracts.• Management has not previously seen the need to have policy and procedures for short term workers andinterns; mainly because they do not represent a large number of workers (less than 3%)
• Enhance job descriptions to skill levelrequirements and relevant working experiencesof critical work stations for the managementof new-employee probation period. (CorporateHuman Resources [CHR]: Director, and integratedDigital Product Business Group [iDPBG]: Director,04/30/’12)• Revise policy and procedures regardingprobationary period for the newly-recruited
FINDING NO: 1Recommendations for Sustainable Improvement:
• Management should revise the employmentcontracts to limit the maximum probation period tothree months / 1 month• Apple should align its current policy, proceduresand Code of Conduct with FLA’s standards and benchmarks. / 3 months• Management should revise the Recruitment &Hiring policy and procedures to include specialcategories of workers, e.g., short term workers and