Apple’s largest supplier Hon Hai denies cutting 100,000 jobs

The chairman of Hon Hai, better known as Foxconn, has brushed off reports of massive layoffs at the electronics manufacturing giant.
By: | November 29, 2018


Hon Hai – known globally as Foxconn, the biggest assembler of iPhones – has denied media reports that the company is cutting up to 100,000 jobs in preparation for an expected downturn next year.

According to Hon Hai chairman, Terry Gou, sales growth at the Taiwan-based manufacturing giant remains stable. It expects increasing revenue into next January.

Bloomberg earlier reported that it had obtained an internal memo that showed the manufacturer aims to cut costs by RMB20 billion (SGD$4 billion) next year during its review.

“Hon Hai is reviewing its expenses plan and such a review is a regular annual move,”Gou said.

The latest expense review will be comprehensive and facilitate Hon Hai in its business restructuring.

“But Hon Hai has no plans for massive layoffs,” Gou added.

Hon Hai currently employs about 1 million workers at its production base in China. In addition to manufacturing devices for Apple, these workers also assemble products such as the Amazon Kindle, Nintendo 3DS, and PlayStation 4, among many others.