http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/ Engadget Comments for http://www.engadget.com/media/feedlogo.gif http://www.engadget.com en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 4:01AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 5:18AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
You all know the city these people work is Shenzhen. This is a developed region, and everything is expensive.

This year in this city, the average price for a new apartment is 20,000 yuan per sq meter (US$3,000). For new house (villa), the average price is 35,000 yuan (US$5,000).

Yes, this is higher than average/mean price in US.

A work's annual income worth 0.5 sq meter of apartment in the city he works.

A worker's life worth 5 sq meter of apartment in the city he works.

And this man said 100,000 yuan "... has tempted some to their death ...".]]>May 28th 2010 5:22AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
I remember when I went to China, buying a car was the equivalent of morgaging a house. There is a really big difference between income and cost of living.
]]>May 28th 2010 5:46AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
Foxconn provides food and housing for all its workers, so the workers do not have to pay for any living expenses. So the degree of development in ShenZhen doesn't really apply to the situation here.

Most workers are immigrants from inner China where its much less developed. So the amount of money they earn compared to what they can earn in a farm is much more.]]>May 28th 2010 5:52AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/On top of which, Foxconn does offer free basic dormitory housing for it's workers in case they can't get any housing. No, Foxconn workers aren't going to be buying sweet condos in Shenzhen but last time I checked most working class people in Manhattan or San Francisco can't afford to buy housing at market prices either. That McDonald's worker in Times Square probably doesn't live in the high-rise luxury condo nearby. ]]>May 28th 2010 7:39AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 9:22AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
A McDonald's worker in Time Square at least has hope (and quite possible) to buy a small apartment in Queens County, isn't it?

My "Average price" means the whole Shenzhen, just like New York City includes Queens County.

Housing is NOT subsidized in China at all (unless you work for the government). 81.62% houses in China are owned by private sector, which is the highest in the world.]]>May 28th 2010 9:36AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 9:42AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
And do you know that statistics data also exists in China? These are official data published by government, not speculation.]]>May 28th 2010 9:50AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 10:11AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 10:20AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
Foxconn do provide BASIC dormitory, which means 8~12 person living in a 30 sq meter room. You think Foxconn cost a lot for it?]]>May 28th 2010 10:24AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
Those misleading numbers you quote are PURCHASING prices for new property and are not fair measuring sticks. Do you have stats for the actual cost of living in Shenzhen, such as cost of food, clothing, transportation, entertainment, etc.? ]]>May 28th 2010 11:09AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
Why would you say purchasing price is misleading?

Living in Shenzhen:

Food: Big Mac Index, half the price of US.
Clothing: can be very cheap.
Traffic: same car twice the price as US. Gasoline price higher than US.
Entertainment: movie average US$11, Avatar US$15~20

These worker's monthly income equals to 80 Big Mac, or 12 movies (definitely not Avatar).]]>May 28th 2010 11:53AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 11:59AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/China does have a high personal savings rate if I remember correctly so maybe they get to go home with some funds to have a better life later... But is it worth it?]]>May 28th 2010 12:43PMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
Quoting direct exchange rates with no regard to purchasing power parity, are we?

Also, please note that McDonald's in China isn't an accurate measure of the cost of food. ]]>May 28th 2010 12:53PMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 2:47PMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
They are misleading because you are not factoring in LIFE STYLE. The average Chinese person has a drastically different life style than the average American person. To live comfortably as a migrant worker in Shenzhen, you don't need any of those things you constantly bring up as measuring sticks - namely high end real estate, brand new cars, Big Macs. You're comparing apples to oranges, or hamburgers to pot stickers.]]>May 28th 2010 4:12PMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
Their monthly income can watch 12 movies, or buy 40kg pork/chicken (uncooked). They can't afford renting a tiny apartment and all live in a 30 sq meter dormitory that has 8~12 worker each. And you keep bragging about life style???

You are so heartless.]]>May 29th 2010 3:57AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
Want to see their "lifestyle"? Look at one of their free dormitory in factory area. For obvious reason, you can hardly find new photos on the web.

http://www.appleinsider.com/articles/06/06/26/foxconn_ipod_factories_get_apple_approval.html
http://www.techweb.com.cn/news/2006-06-17/66675.shtml
]]>May 29th 2010 4:27AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
/s]]>May 29th 2010 12:05PMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 4:05AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/you mean like a mother going towards a knife when an armed house-break happens and threatens her children.
or wait, yes! when a man jumps into flames to save his kids
you need more examples,
it is the exact same behavior, for the necessity of saving your family's life that we have even in western world.
(besides kids raping their mum's or beating their grandparents for drug money or for a beer)

well, in each case, it is a matter of life, the only difference there is that life depends on food and health while we are wealthy enough that for us it is other factors,
but the drive is the same]]>May 28th 2010 4:14AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
True, but in our countries.... We put ourselves before our familes, destroy our relationships, give broken homes to our kids and hope our parents die quick so we can get their money

I think there is a lot more honour and social integrity in dying for your family as opposed to wAnting them dead for yourself.

Now i ain't saying that is everyone but it is bleedingly obvious it's a LOT]]>May 28th 2010 4:14AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 4:27AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
You think 100,000 yuan is lots of money in China???

Do you know that the average price for an apartment in Shenzhen this year is 20,000 yuan per square meter, which means a suicider will earn his family 5 square meter.

And if it's a house instead of an apartment, then the average price will be 35,000 yuan.]]>May 28th 2010 4:43AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
Now you understand why they are in despair. Forget it and go play with your blood-soaked gadgets.]]>May 28th 2010 4:54AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/its not really the same, in those situations its instinct, your saving your child from dieing, in the case of working for foxconn the kids will be ok, just not well off, but the fact that they would consider climbing up to a roof and then jumping off just so their family can afford a flat is something very different...

im glad to see about the raise, it may not be great, but heck, 20% is a BIG increase for anyone, and will help no matter what, hopefully this is a step in the right direction :)]]>May 28th 2010 6:26AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/]]>May 28th 2010 8:44AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/You really need to calm down. There are more complx issues than just the real estate pricing you quote. I don't know why you are posting it over and over.

No matter how little that money is to you, some people from rural communities would kill themselves to get some money in their family's pocket. Desperate people do desperate things. Stop trying to rationalize the basis for suicide off of real estate - it isn't the most rational act in the first place to kill yourself.

Oh, and the blood soaked gadget comment was tasteless from someone who also posts on a gadget blog.]]>May 28th 2010 8:48AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/There are quite a lot of devices not made in China and not made by Apple, HP or Dell.
]]>May 28th 2010 9:20AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 10:51AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
The problem is, you're quoting prices you find on Google. I can assure you that you're incredibly wrong about housing and cost of living, because the prices you find on Google are from people who love charging foreigners ABSURD prices.

This is especially prevalent in Vietnam and China. If you were to go there, and have a Chinese or Vietnamese (in Vietnam) girlfriend make the deal for you (of course, you'd have to pay and it would be in your name), you'd get a MASSIVE discount.

The food is actually very cheap as well, and so is clothing.]]>May 30th 2010 1:40AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
So, employees are actually considering killing themselves to get money for their families?

That's plain f'ed up.]]>May 28th 2010 4:05AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
In America, we get life insurance for our family members, and then encourage them to go skydiving, diving with sharks, mountain climbing, train dodging and the like. ]]>May 28th 2010 4:09AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
we are not doing it for thesmselves.
we are doing it for the greater good.
rejoice, our fellow colleagues!]]>May 28th 2010 4:19AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
we are not doing it for ourselves.
we are doing it for the greater good.
rejoice, our fellow colleagues!]]>May 28th 2010 4:19AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 11:28AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/if they wanna buy a house it costs almost 5000 yuan per sq meter.
20% turns out nothing. ]]>May 28th 2010 4:09AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/you are from US?
well the salary is a package.
if you ear say: 4000$ here .
less 900 for your flat rental
less 200 for bills and utilities
less 60 meals a months at 10 to 15 $ each (they have a subsidised canteen.)
less 800$ for a small car (financial cost of a loan, or depreciation if you paid cash + repairs + insurance + oil + maintenance normalized on a monthly cost)

you could as well earn 200 with free accommodation, food cheap, no transport needed...

it is a different point of view. but your comment is not correct]]>May 28th 2010 4:17AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 4:17AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
And when you buy a house in China, its not like in the US where its occupied by 1-3 people, you have a few generations packed in sharing the cost. And in the cities there are a lot of inexpensive compact high rises.

What China is proof of though is that if you stop with the massive handouts, people WILL work, even for pennies (not that I condone that).

Currently there are 50.1 million Americans on welfare and 10-11 million illegal aliens, and then we wonder why there are no more low-skill manufacturing jobs available to Americans.]]>May 28th 2010 4:19AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 11:17AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 4:11AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/
^wtf is wrong with this guy.]]>May 28th 2010 4:20AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 4:11AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 7:20AMhttp://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/http://www.engadget.com/2010/05/28/foxconn-raising-wages-by-about-20-percent-as-previously-planned/May 28th 2010 4:12AM