TAIPEI (Taiwan News) – Taiwan’s electronics manufacturing giant Foxconn Technology Group is reportedly implementing across-the-board pay increases, a move that some speculate is a way for founder Terry Gou (郭台銘) to woo voters after having announced his presidential bid.
The company has verified reports about the wage adjustment in a statement, saying an average 7 percent pay raise will be applied to workers who have been employed for at least one year, reported UDN. The proposal, taking effect this month, is part of Foxconn’s efforts to retain talent, the statement added.
The extent to which payment will be increased hinges on performance, and subsidiaries of Foxconn and affiliated companies will also review their salary adjustment policies according to their respective profitability and competitiveness, added the report.
A Foxconn worker, who spoke on condition of anonymity, confirmed the proposed pay raise, but dismissed reports it would be as high as 10 percent. The employer believed a rise of around 5 percent can be expected, UDN reported.
The move sparked speculation that Gou is bribing voters with the pay incentive, after a netizen broke the news on Taiwan’s PTT Bulletin Board System late on Monday (June 10). Citing a friend working in Foxconn, the netizen noted the 10 percent general pay raise was the last order issued by Gou before he steps down as Foxconn chairman in the coming months.