Sharp lays off 3,000 foreign staff as it relocates production to China – Nikkei Asian Review
What happened: Japanese electronics manufacturer Sharp Corp has laid off more than 3,000 foreign workers in Japan as it shifts production of iPhone components to a Foxconn plant in China. Sharp won a contract to assemble sensor components for facial recognition features on the iPhone X last year. The company had to ramp up hiring to meet production expectations for the iPhone X. Many temporary workers hired during that time period were foreigners of Japanese descent.
Why it’s important: This year, Foxconn, the parent company of Sharp, decided to move its sensor production to its factories in China. The production shift has resulted in revenue loss and deep job cuts, which come as Japan debates on whether to allow more foreign workers into the country amid a nation-wide labor shortage.