Investigations by China Labor Watch have revealed that given the current hourly wage of workers producing Apple's iPhone 5's on assembly lines in Zhengzhou, China, each worker makes roughly $0.01 per iPhone. The iPhone's retail value in the United States is $649, meaning that each worker is paid less than 0.002% of the market value of the product that she is assembling.
A recent report by IHS iSuppli calculates that Apple spends only $207 in costs on each iPhone 5. So Apple is making over $440 in profit per iPhone, while giving each worker $0.01.
These workers diligently toil away for at least 10 hours per day manufacturing the products that are the lifeblood of Apple's profits. Apple cannot justify paying these workers such a pittance. With such low wages, these workers cannot afford to live in the cities in which they work. They depend on the factories' group dormitories for a place to live and couldn't possibly buy an apartment on their own.
If Apple truly wants to be a responsible corporation, than it needs to pay its workers fairly. We demand that Apple double the base monthly wages of each of its Chinese manufacturing workers. This way, workers assembling the iPhone 5 would be able to earn about $0.02 per phone, or 0.004% the value of the product.
With profits of almost $26 billion in 2011, paying their workers more fairly is completely feasible for Apple. Apple likes to tout itself as a company that is revolutionizing the world. We encourage them to revolutionize the way in which leading corporations treat their workers.
For inquiries, contact:
China Labor Watch