Apple pledge could lead to China wage hikes

March 30, 2012 4:58:12 AM PDT
A pledge by the manufacturer of Apple's iPhones to limit work hours at its factories in China could set off a new round of pay hikes for Chinese workers who produce the world's consumer electronics, toys and other goods.

Foxconn Technology's promise comes as Beijing is pushing foreign companies to share more of their revenues with Chinese employees. It follows a report by investigators who found Foxconn factory workers violate were working more than 60 hours per week.

Wages in China already were rising as companies compete for workers and the communist government tries to raise living standards.

Foxconn is one of China's biggest employers with 1.2 million workers, and its promise is likely to increase pressure on other companies to pay more.