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Demonitisation effect: Foxconn India sends 1,700 factory workers on forced leave
Demonitisation effect: Foxconn India sends 1,700 factory workers on forced leave
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By Elets News Network 19-December-2016
Facing slump in demand of mobile phones in India post demonitisation, Foxconn India — the multi national contract manufacturing company of electronics — has sent its 1,700 factory workers on forced leave.
Foxconn India is one of the major players in the Make in India campaign of the government but after demonitisation, it has seen a decline in the demand of mobile products by up to 50 per cent, forcing the company to take this action.
The company has plants in Andhra Pradesh, Noida and Haryana with a total labour strength of around 8,000. Foxconn makes devices for Xiaomi, Oppon, Gionee, InFocus, Nokia, Lava, Intex, Karbonn and Micromax, which account for 50 per cent of the mobile handsets sold in India.
The four plants in Andhra Pradesh’s Sri City are running at half capacity. The production is directly linked to demand and that is why Lava and Intex have shut down their factories.
Sources said that Karbonn that has factories in Noida and Bawal, Haryana, may even lay off 1,200 to 2,000 people soon. Micromax has already slowed production in Rudrapur and Telangana facilities.
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