All Press Releases for August 25, 2011

AC Generations Wondering if Robots Will Really Replace 1 Million Strong Workforce in Chinese Factory

AC Generations considers the reason behind a FoxConn has turned from using people to using robotic counterparts.



    ESSEX, ENGLAND, August 25, 2011 /24-7PressRelease/ -- AC Generations look into the reason why a company such as FoxConn, whom has been applauded for creating so many jobs would then turn from using people to using our robotic counterparts. Chinese manufacturing giant FoxConn, which produces all of Apple's iPhones and iPads, will be introducing 1 million robots into its workforce over the next three years. The company currently uses 10,000 robots in its production line, a number it'll increase to 300,000 next year alone.

AC Generations consider according to a report in the Washington Post, the robots at FoxConn will take over repetitive work such as spraying, welding and assembly. Chairman Terry Gou reportedly announced the change at a recent employee party. The report said the company currently has about 1.2 million employees, with 1 million on the Chinese mainland. FoxConn may well be China's largest individual employer, and certainly it's most important but it has come under scrutiny over its working conditions of late. Last year there was a spate of employees at the Shenzhen plant committing suicide; in the latest such case, a 21-year-old worker threw himself off a building in late July. In May an explosion at a new factory in Chengdu killed three more employees and, it is believed, caused delays in production of Apple's iPads. AC Generations believe as well as cutting costs, the company are obviously looking forward to the robot takeover decreasing the amount of suicides.

AC Generations notice that the suicides at FoxConn factories prompted the company to write no-suicide pledges for workers, and to fix anti-suicide nets around tall buildings. Robotic assembly line workers won't have any of these requirements, nor will they require food service, housing or any other amenities. And the robots will handle the repetitive, exhausting work without complaint. As reported in the Economist, to pacify workers in the meantime the company have repeatedly bumped up wages, improved facilities and provided counseling resulting in higher costs, and signs that the company's previously successful business model has run its course.

The question from AC Generations of course, is what will happen to those 1.2 million people once the robots take over? Yes robots don't complain or die and yes the factory bots will reduce labour costs and improve efficiencies but AC Generations doubt whether the company that has received more negative press than it could ever want, could survive the HR disaster resulting from a robot takeover.

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Lucy Rowe
AC Generations
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