The Foxconn Issue

The story behind the Foxconn Pyramid structure

Introduction

In 2010, the Foxconn suicide jump which became the focus of the media and caused the various discussion in China’s current society, even the world IT industries. Foxconn as the world’s largest contract electronics manufacturer, it is the main supplier for the Mac, Nokia, HP, Microsoft. However, there were 13 employees of Foxconn jumped or attempted to jump according to the official news. Most of the suicide employees are only around the 18 to 24 years old. As most media has described, long hours, low pay, and harsh management caused the stress and the other psychological problems of the workers, which are the core reasons for the suicide cluster. With the in-depth research, we recognize that the HR problems are not only for the Foxconn’s tragedy, but for the whole China’s going fast manufactory industry. Because of that, we focus on the training and compensation parts to discuss the problems behind the Foxconn’s management.

Pyramid structure

In generally, the Foxconn has set up in the three pyramid shaped structure for the strict militarization management. The company’s senior managers are to formulate and implement the strategy and coordinated with the middle sector, which actually is detail department and functional groups. The middle-level mangers are responsibility for arranging for the production process to achieve the task and implement the tactic immediately. With mentioned that, in the middle-level managers structure which treated as a military rank , it divided into 2 groups including the 3 levels basis manger and 14 levels relative higher manger as which required well-education or well-skilled. Different level of employee directly affects the salary basis. Even the middle level has such harsh system; the problem in the bottom of the structure is more serious in the production process especially in the assembly line. The production line supervisor must strictly enforce the production...