The Wistron unit which was supposed to open India in January will not be opening soon as there were some issues at its Narsapur plant near Bangalore. the Apple contract manufacturer Wistron has a plant near Bangalore. According to reports, Om12th December the workers unleashed violence because of not paying them salaries which had made the plant closed for some time. The company is still not able to resolve the issue and we don’t know when it will be solved and the plant will reopen.
There are investigations running on the agitating workers. The company could not restart its operations as there were no staff to do that as old ones did not get their salaries and they were unable to hire new people. Earlier, the unit was expected to reopen by January but it looks like it might take some more time.
THINGS NOT WORKING OUT FOR WISTRON
The Indian government and Karnataka State Government has helped Wistron to improve the situation but still the situation is not improving for Wistron. The Government tried to help the company because it will make a bad impression in the eyes of foreign investors who had or were going to invest in the company.
Wistron is not a start-up or a small company that it is struggling in giving salaries to its workers. They could have paid the salaries to all workers and they should have.
When Apple found out about them not paying the salaries, they suspended all the business which they were supposed to give to Wistron India until they resolve the issue and pay the salaries of workers.
The Wistron plant was earlier assembling Apple iPhone 7 and iPhone SE and Apple was planning to assemble their iPhone 12 mini there. But after what happened, it might take some more time before that can happen.
ALL EYES ON PEGATRON
After what happened with Wistron, people are focussing on Pegatron which is also another Apple assembler from Taiwan and setting up their plant worth Rs. 11000 crores near Chennai.
We are expecting that Apple may contract with Petragon to pass some of the work which they were planning to give to Wistron. Petragon is looking for another plant also near Tamil Nadu.