New Generation Workers Call for Management Strategic Transformation

Foxconn Technology Group is the most dependable partner for joint-design, joint-development, manufacture, assembly, and after-sales services to global Computer, Communication and Consumer-electronics ("3C") leaders. Foxconn was founded in 1974; devotion in integrating expertise for mechanical and electrical parts and an uncommon concept to provide the lowest "total cost" solution to increase the affordability of electronics products for all mankind. Currently, Foxconn has a workforce of 900,000 workers all over China. The corporation is going to expand the workforce to 1.3 million people by the end of 2011.［1］

Foxconn's commitment to continual education, investing in its people long term and localization globally not only leads to the deep collaborating relationships with leading institutions of higher learning, but also helps to make this Fortune Global 500 group's global operations including the largest exporter in Greater China and the second largest exporter in Czech Republic. But since the beginning of 2010 year, eleven Foxconn employees have plunged from the buildings. Is there the problem of these employees or the problem of Foxconn on company’s operation? From the management we will look into the incident thoroughly and figure out the cause of these ghastly deaths and the suggestions to fix the problem.

1 Brief Description of Foxconn Consecutive Suicides

Seventeen Foxconn employees have plunged from buildings since the beginning of 2010 year, of whom eight died and two were injured (while more than 20 possible suicides are successfully prevented). All the nine dead in the Foxconn suicides were post-80s and post-90s workers aged between 18 and 24. There were 5 similar tragedies in January, within the time span of no more than one week.

Foxconn’s initial response to the recurrence of such incidents was putting the blame on the “immature mentality” of its post-80s and post-90s workers. It did not react until afer the seventh suicide. Several days later, a spokesman of Foxconn enterprise confirmed the management and lack of care for employees. But Foxconn rejected that there was no direct link between the company’s operation and the consecutive suicides. The company’s preliminary investigation showed that the ten employees had certain characteristics in common. They took the extreme step due to their own personal issues. Reasons for the suicides included romantic disappointments, family background and psychological problems. But the workers in Foxconn said that Foxconn is far more than “sweatshops”. Foxconn is very strict with work discipline, totally ignoring the people’s integrity, emotions, personal life and social contacts. The companies should provide more mental care for employees besides material benefits. The psychologists and experts said that the causes of suicides are job stress, lack of entertainment and labor union. While more than 85% migrant workers claim that they had not joint in the labor union, about 90% of them had not got help from it.

The rights and psychological needs of workers were often ignored as many companies focused solely on profit margins. In the race to stay competitive and profitable, huge enterprises can impose harsh working conditions and terms on a largely captive workforce