What Obama’s anti-‘human trafficking’ order means for Apple Inc.

“Apple Chief Executive Tim Cook visited the White House on Tuesday to talk about the NSA. The spy agency has had a run of bad publicity, especially regarding its global surveillance network,” Cam Simpson and Adam Satariano report for Businessweek. “If the public freaks out too much about spy tech, that could erode faith in technology in general, which could make people think twice about buying such things as iPads and iPhones, which would be bad for Apple’s (AAPL) bottom line. But another initiative by President Barack Obama could cost Cook sooner and in a more direct way, courtesy of the company’s much-vaunted supply chain.”

“Friday is the deadline for corporate suppliers of the world’s biggest consumer — the U.S. government — to have a say in new regulations aimed at ending indentured servitude overseas,” Simpson and Satariano report. “The rules stem from an executive order Obama signed last year, called ‘Strengthening Protections Against Trafficking In Persons In Federal Contracts.'”

“As Bloomberg Businessweek reported in November, foreign workers recruited from some of Asia’s poorest corners often go deep into debt to pay brokers for a crack at jobs on consumer-electronics assembly lines,” Simpson and Satariano report. “These factories are in Malaysia and other countries that rely almost exclusively on migrant labor for production. For years Apple has ordered its suppliers to keep such fees below one-months’ net pay at a factory, but its audits last year turned up $6.4 million in overcharges”

Read more in the full article here.

19 Comments

  1. obama has proven time and time again that his words do not
    reflect truth on any level; so who would care what he has to say given the nature of him communication
    happy trails, y’all and Merry Christmas

      1. Mcman, having ignorant bigoted dickhead, such as yourself, argue anything around here is a disservice to humanity.

        There is a raft of facts that show Obama (and GW Bush) to be treasonous liars. I’ll stick with those. You can keep your ignorant hate to yourself.

  2. I am loving the new MDN iOS app. The font size thing is great. The fact you have to select comments is even better. Finally it is easy to read just the article without the always inane political nonsense showing up at the bottom. I feel so happy that this morning I was comfortable not reading any comments on any article except I could not help clicking on this one just to see the haters jumping in.
    Great job MDN, good looking app.

  3. It would really be useful if the MDN app would filter out all the political hate messages. In my view political differences (and journalism) are good and lead to some sort of equilibrium, where one party at a time should get a fair crack at governing, with a useful opposition in the background, helping to iron out the creases by voicing their opinion, not by blocking everything altogether.

  4. The prez could keep all these jobs in the USA if he would put all of the welfare getters to do the assembly for their welfare check.

    That would put all these foreign workers, recruited from some of Asia’s poorest corners, out of a job. And we’d get crappy products because the US unions would jump right in – and that would be that.

  5. Nobody has commented on the merits of the order! I think it is a good idea for the US to lead by not allowing slave labor in our companies supple chains.. I doubt Apple wants either.. as the article states.. Apple set the limit at one months pay and found the companies where not complying. This order just puts more teeth into the matter.

    As for the economics and government geniuses posting here.. Welfare under the reforms passed by Clinton.. have a 5 year life time maximum benefit. Therefore you can only be a queen for 5 years… unlike our elected officials who think they can be king for a career! Additionally if you want to force people on welfare to work in factories .. doesn’t that violate the anti servitude order? Dim bulbs everywhere!

  6. I see this as less something that affects Apple and more something that forces Foxconn etc. to clean up their hiring policies. The USA has a lot of economic muscle. Flexing it a bit to prevent this sort of arranged slavery is a good thing. Even if Obame does nothing Cook should carry it through.

  7. As strange as it may sound, but we live in an era of consumption, advanced technology and space travel and this is a good part of the modern world, but at the same time some people still live in an era of hunger, cold and poverty, and this is very sad. I found an article https://www.urdesignmag.com/lifestyle/2020/01/29/4-examples-of-modern-human-trafficking/ that looks at four examples of modern human trafficking. I was shocked, to put it mildly, as it seemed to me that it had long since passed. I want to warn you to always be as careful as possible.

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