News Karnataka
Wednesday, May 01 2024
Science & Technology

Apple Ecosystem to Aid in Building 78K Homes in India: Report

Apple W
Photo Credit : AVIF File

Apple and its network, renowned for its significant role in job creation in India with over 150,000 direct employment opportunities in the past two and a half years, are now prioritizing the enhancement of employee welfare. A report by The Economic Times indicates a shift towards providing residential accommodations for factory workers.

Aligned with housing initiatives undertaken by Apple’s suppliers in China and Vietnam, the project aims to establish conducive living environments for employees. According to sources familiar with the matter, the endeavor entails the construction of more than 78,000 housing units under a public-private partnership model, marking it as the largest of its kind in the private sector. Tamil Nadu is slated to host the majority, with approximately 58,000 units, notably accommodating the largest iPhone manufacturing plant in the country operated by Foxconn.

Key contributors and developers such as the State Industries Promotion Corporation of Tamil Nadu (SIPCOT), Tata Group, and SPR India are involved in the project. The funding framework includes contributions from the central government (10-15%), state governments, and private entrepreneurs.

The construction and handover to the private sector are projected to be finalized by the end of the fiscal year, March 31, 2025. Primarily targeting migrant female employees, typically aged between 19-24 years, the housing initiative addresses concerns related to efficiency, security, and welfare.

Given the proximity requirement of the electronics industry to major airports for streamlined cargo shipment, the provision of comfortable and accessible housing near manufacturing facilities is emphasized.

House allocation plans include approximately 35,000 units designated for Foxconn’s workforce in Sriperumbudur, Tamil Nadu, with Tata Electronics and Salcomp also earmarked for 11,500 and 3,969 housing units respectively.

This initiative forms part of Apple’s broader strategy to diversify its manufacturing footprint amid geopolitical uncertainties and market dynamics. India, as the world’s second-largest smartphone market, holds strategic importance for Apple’s manufacturing expansion. Beyond enhancing productivity and working conditions, the initiative aims to address historical employee concerns and minimize factory disruptions by offering quality housing near manufacturing hubs.

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