Supply Chain Innovation

Assessment of Apple Supplier Factory Operated by Pegatron in Shanghai

Publication date: 
Monday, June 1, 2015

Between December 22 and 27, 2014, the Fair Labor Association (FLA) conducted an independent external assessment at Protek Shanghai Ltd, a facility operated by Pegatron Corporation. Pegatron is a supplier to Apple, a Participating Company with the FLA. The assessment was conducted by FLA staff and Openview Services, a local, independent labor monitoring organization accredited by the FLA.

Overall, assessors spent five days in the 65,000-worker facility, and conducted 778 worker interviews (141 of them conducted off-site). Due to confidentiality of Apple’s new and ongoing product development, assessors were denied access to areas representing 15 percent of the factory’s total production areas.  As a result, the final assessment contains no observations for the restricted areas; any findings from this area come from document review or worker interviews only.

This report is the third assessment of Apple suppliers published by the FLA since 2012. Key findings on hours of work, dispatch workers, freedom of association, and compensation were similar to those identified in FLA assessments of other Apple suppliers in China.   The executive summary below summarizes these and other important findings from the assessment report, while the full report details each violation found by the assessment team, followed by the FLA’s root cause analysis and specific recommendations for immediate action and sustainable improvement.  The company’s remediation plans are also publicly disclosed in the full assessment report, and have not been reviewed by the FLA.

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