Rights group hits Amazon, Foxconn over poor China labor conditions

China Labor Watch cited excessive hours and low wage at Foxconn’s Hengyang Foxconn plant in Hunan province, which makes Amazon’s Echo Dot smart speaker and Kindle e-reader. (AFP)
Updated 14 June 2018
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Rights group hits Amazon, Foxconn over poor China labor conditions

NEW YORK: A US watchdog group criticized Amazon.com and contract manufacturer Foxconn over what it described as harsh working conditions at a plant in China that makes the retail giant’s Echo Dot smart speaker and Kindle e-reader.
The 94-page report by New York-based China Labor Watch cited excessive hours, low wages, inadequate training and an overreliance on “dispatch” or temporary workers in violation of Chinese law at the Hengyang Foxconn plant in Hunan province.
Taiwan-based Foxconn, known formally as Hon Hai Precision Industry Co., is the world’s largest contract electronics manufacturer and employs more than a million people.
Foxconn, which also makes Apple Inc. iPhones, came under fire in 2010 for a spate of suicides at plants in China. Foxconn pledged to improve working conditions.
China Labor Watch said its nine-month investigation found that about 40 percent of workers at the plant were dispatch workers, far exceeding the 10 percent limit under Chinese law. Dispatch workers were paid at the same rate for regular and overtime hours, rather than time and a half as required, said China Labor Watch Program Officer Elaine Lu.
“They were underpaid,” Lu said. “That’s illegal.”
Dispatch workers earned 14.5 yuan ($2.26) per hour, the report said. Workers also put in more than 100 overtime hours per month during peak season, far more than the 36 hours allowed by law, and some worked for 14 consecutive days.
Amazon said in a statement it audited the factory in March and found “two issues of concern.”
“We immediately requested a corrective action plan from Foxconn,” Amazon said, adding it is monitoring Foxconn’s response and “compliance with our Supplier Code of Conduct. We are committed to ensuring that these issues are resolved.”
Amazon did not say what the issues were or whether they had been addressed.
Foxconn said in an emailed statement that it “works hard to comply with all relevant laws and regulations” where it operates and conducts regular audits. “If infractions are identified, we work to immediately rectify them,” it said.


Work suspended on Riyadh’s massive Mukaab megaproject: Reuters

Updated 27 January 2026
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Work suspended on Riyadh’s massive Mukaab megaproject: Reuters

RIYADH: Saudi Arabia has suspended planned construction of a colossal cube-shaped skyscraper at the center of a downtown development in Riyadh while it reassesses the project's financing and feasibility, four people familiar with the matter said.

The Mukaab was planned as a 400-meter by 400-meter metal cube containing a dome with an AI-powered display, the largest on the planet, that visitors could observe from a more than 300-meter-tall ziggurat — or terraced structure —inside it.

Its future is now unclear, with work beyond soil excavation and pilings suspended, three of the people said. Development of the surrounding real estate is set to continue, five people familiar with the plans said.

The sources include people familiar with the project's development and people privy to internal deliberations at the PIF.

Officials from PIF, the Saudi government and the New Murabba project did not respond to Reuters requests for comment.

Real estate consultancy Knight Frank estimated the New Murabba district would cost about $50 billion — roughly equivalent to Jordan’s GDP — with projects commissioned so far valued at around $100 million.

Initial plans for the New Murabba district called for completion by 2030. It is now slated to be completed by 2040.

The development was intended to house 104,000 residential units and add SR180 billion to the Kingdom’s GDP, creating 334,000 direct and indirect jobs by 2030, the government had estimated previously.

(With Reuters)