Apple manufacturer faced with new labor violation claims

New report from China Labor Watch says iPhone maker's Taiwanese supplier Pegatron Corp. uses underage workers, doesn't pay enough, and forces overtime.

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A new report from the China Labor Watch has alleged that Apple's Taiwanese supplier Pegatron Corp. uses underage workers, pays "insufficient" wages, and forces overtime.

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Overall, Pegatron factories are "even worse than those at Foxconn," executive director Li Qiang said in a statement, as reported by Bloomberg.

Foxconn is one of the world's largest contract manufacturers of electronic components and products for companies like Apple, Dell, HP, Nintendo, Sony, and Microsoft, among others.

The CLW found 86 labor rights violations during investigations at three Pegatron factories from March through July. Apple spokesperson Carolyn Wu told the site that though the company had been in close communication with the CLW, some of the claims are "new to us."

"We will investigate these new claims thoroughly, ensure that corrective actions are taken where needed, and report any violations of our code of conduct," Wu said. "We will not tolerate deviations from our code."

Pegatron itself will also investigate the claims, president and CEO Jason Cheng said in a statement.

Apple said it has conducted 15 audits of Pegatron factories since 2007, with the most recent survey of employees finding those making Apple products worked an average of 46 hours per week, Wu said. The CLW does not agree, saying average weekly working hours were between 66 and 69 hours, a violation of China's 49-hour limit.

"Apple has not lived up to its own standards," the CLW said in a statement. "This will lead to Apple's suppliers abusing labor in order to strengthen their position for receiving orders. In this way, Apple is worsening conditions for workers, not improving them."

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