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Not until you see the whole picture.

In the past few years, Pearl River Delta area (around Shenzhen, where Foxconn and the other sweat factories are located) has been experiencing continuous shortage of experienced cheap labor. Other areas like the Yangtze River Delta (around Shanghai) are offering higher wages.

The supply of cheap labor in China is not unlimited. The vast majority of young generation in rural parts of China has already been lured into cities to work. The remaining population in many villages are children and old people, which no body wants them to come.

Simply put, China (and the rest of the world) could not sustain the cheap labor cost anymore. Foxconn is forced to use robots to reduce its reliance on human. Simple robots aren't expensive anyway. Going all robots is expensive, but not robots + human. Robots can perform routine tasks while leaving more challenging work to human. Win-win.

By the way, China no longer relies on compulsory military service. Most of my friends (me included) have never served in the army. Volunteers and paid soldiers are the majority now.




One anecdote vs another, my cousin is currently serving compulsory military service.


I said “China no longer _relies_ on compulsory military service”, not “China no longer _has_ compulsory military service”. It is still there, but it compulsorily drafts significantly less people since 1998. So effectively, we no longer have to worry about this anymore.

Nevertheless, the army, just like Foxconn, needs some cheap “labor” to do boring work anyway. Not sure how your cousin got drafted. I hope he does well there. Best wishes.




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