NARASAPUR, INDIA -- Apple has put Wistron on probation in response to riots at the EMS company's iPhone manufacturing plant here.
Apple told Wistron it would ban it from future programs, pending resolution of issues identified in a government report on worker conditions at the site.
In the statement, Apple said: “Wistron has taken disciplinary action and is restructuring their recruitment and payroll teams in Narasapura. We have placed Wistron on probation and they will not receive any new business from Apple before they complete corrective actions. Apple employees, along with independent auditors, will monitor their progress.”
Apple says it has begun its own investigation as well.
Wistron is accused of stretching the plant past its capacity, employing workers in shifts up to 12 hours, and failure to compensate them in a timely or complete manner.
A worker-led riot at the campus on Dec. 12 causes millions of dollars in damage. Wistron estimates the losses at up to $7 million.
The plant employs some 10,500 workers. Estimates put the number of people involved in the protests in the thousands.