Apple Finds Underage Labor Problem At Suppliers

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By Douglas A. McIntyre Updated Published
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Apple (AAPL) found that three of the companies that provide it with components to build its products employ underage workers. Apple’s 2010 Supplier Responsibility reports says that “Apple discovered three facilities that had previously hired 15-year-old workers in countries where the minimum age for employment is 16.”

Apple also found that some suppliers inappropriately disposed of hazardous waste.

The huge consumer electronics company reported that it “discovered three facilities that had hired noncertified hazardous waste disposal companies. We classified these instances as core violations and required all three facilities to immediately stop shipping waste and to hire certified vendors for all of their hazardous waste disposal.”

The press and investors will probably take the firm to task for the actions of its suppliers, but that is hardly fair. Apple has suppliers across the globe, particularly in Asia. The new report covers 102 facilities which employ 13,000 workers. A complete day-to-day account of what these suppliers do is impossible. It is actually impressive that Apple audits them as closely as it does.

Douglas A. McIntyre

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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