In the past two and a half years, Apple has made significant strides in Bharat, creating over 150,000 direct jobs. Now, the tech giant is shifting its focus towards enhancing the living standards of its factory workers by providing residential accommodations. This move aligns with successful industrial housing models observed in countries like China and Vietnam.
According to reports, Apple’s key contract manufacturers and suppliers, including Foxconn, Tata, and Salcomp, are planning to construct homes for their employees in Bharat. This initiative, conducted under a public-private partnership scheme, marks one of the largest endeavors of its kind in the country.
It’s reported that more than 78,000 housing units are set to be constructed, with Tamil Nadu receiving the highest allocation of around 58,000 units. Major developers involved in this project include the State Industries Promotion Corporation of Tamil Nadu (SIPCOT), Tata Group, and SPR India.
Funding for this ambitious housing project comes from various sources, including contributions from the central government (10-15%), state governments, and private entrepreneurs. Construction and handover to the private sector are expected to be completed by the end of the fiscal year 2024-2025.
This initiative comes at a crucial time as Apple ramps up its production capabilities in Bharat through its contract manufacturers. The company’s Bharat business recorded a significant revenue of INR 49.3K Cr (approximately $6 Bn) in the fiscal year 2022-2023, marking a 48% increase from the previous year.
Most importantly, the government recognizes the importance of providing comfortable housing for workers, especially in the electronics industry, which heavily relies on proximity to major airports for efficient transportation. This move aims to improve productivity, working conditions, and overall welfare outcomes for the workers, as highlighted by S Krishnan, the secretary of the Ministry of Electronics and IT (Meity).
With Apple’s continued commitment to expanding its presence in Bharat, including manufacturing iPhones worth INR 1 Lakh Cr in 2023 alone, the provision of residential accommodations for factory workers signifies a holistic approach towards sustainable growth and development in the region.
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