Hewlett-Packard Company (HPQ) probe Foxconn suicides

Time 5/28/2010 06:30:00 AM
Hewlett-Packard Co. said theyre procedures for review by the Hon Hai group, also known as Foxconn Technology Group announced after a series of suicides in the sub-contractor in Taiwan.

This week, The Daily Telegraph disclosed the latest two deaths of Foxconn workers, plunging the company into crisis. Eleven days ago there were two more fatalities and Foxconn says it has prevented around 20 others from killing themselves since the suicides began in January.

Some workplace rights groups have described Hon Hai’s biggest factory, a production site in China, as a “sweatshop”.

“We are in direct contact with Foxconn senior management and we believe they are taking this matter very seriously,” Steve Dowling, a spokesman for Apple said by phone. “A team from Apple is independently evaluating the steps they are taking to address these tragic events and we will continue our ongoing inspections of the facilities where our products are made.”

said in an e-mailed statement.

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HP’s server revenue in the quarter was $3.4 billion, up 16% from last year. First quarter server revenue at IBM was $3.05 billion, down 2.1% annually.

Hewlett-Packard shares are up 2.38%, or $1.09, to $46.81. IBM shares are up 1.65%, or $2.03, to $125.26.