Apple
‘s operations in India are set to generate a significant number of employment opportunities, with projections indicating that the company’s ecosystem will create up to 600,000 jobs by the end of the current fiscal year. This growth reflects Apple’s aggressive expansion in the country as it aims to diversify its production away from China.
According to estimates and data provided by Apple and its suppliers to the government, the company’s Indian workforce will consist of 200,000 direct jobs by the end of March, with an impressive 70% of these positions being held by women.
The government’s projections indicate that the electronics sector generates three indirect jobs for every direct job created. Based on this estimate, the Apple ecosystem could potentially generate between 500,000 and 600,000 jobs by the end of March.
Government officials told ET that Apple’s three contract manufacturers in India-Foxconn,
Wistron
(now
Tata Electronics
), and Pegatron-have already created 80,872 direct jobs. Additionally, the company’s broader supplier network, which includes the Tata Group, Salcomp, Motherson, Foxlink in Tamil Nadu, Sunwoda in Uttar Pradesh, ATL in Haryana, and Jabil in Maharashtra, has collectively generated around 84,000 direct jobs.
Direct employees of Apple’s three vendors
Officials emphasize that Apple has emerged as the largest creator of blue-collar jobs in India over the past few years, with the majority of these positions being filled by women and first-time employees. “Overall, Apple vendors and suppliers have created around 165,000 direct jobs since the inception of smartphone
PLI
(production-linked incentive) scheme (in 2020),” an official familiar with the details said.
The recent Economic Survey highlights that India currently contributes around 14% to Apple’s overall production, emerging as a crucial hub for its global exports. This share has doubled from about 7% in FY23, showcasing the growing importance of India in Apple’s manufacturing strategy.
The Tata Group’s manufacturing facilities in Hosur, Tamil Nadu, are set to significantly boost employment in the region. The
iPhone
manufacturing unit, which will operate alongside the group’s enclosure manufacturing plant, is expected to hire approximately 50,000 employees over time. Commercial production of iPhones is scheduled to commence in October, with plans to gradually increase manufacturing capacity, according to officials.
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The smartphone PLI scheme, introduced in 2020, initially aimed to create 200,000 direct jobs over a five-year period through the efforts of 10 selected firms. Remarkably, the Apple ecosystem has already achieved this target within four years.
According to industry experts, Apple has successfully implemented its China model in India, focusing on creating a comprehensive ecosystem that has led to significant job creation. It is estimated that the company has generated more than 4 million jobs in China’s manufacturing and app development sectors over the past 25 years.
Apple has become the first global value chain (GVC) to quickly shift a portion of its supply chain from China to India. The company began manufacturing iPhones in India in 2021, marking the first time it had done so outside of China.
Since then, iPhone production in India has been steadily increasing through Apple’s three contract manufacturers, reaching Rs 1.20 lakh crore in FY24, with Rs 85,000 crore being exported. It is important to note that the production and export figures consider the freight on board (FOB) value at which a device leaves the factory, while retail prices are approximately 60% higher.
According to a senior industry official, out of the 200,000 direct employment opportunities, approximately 90,000 are anticipated to be generated by the iPhone and component manufacturing facilities of
Foxconn
and the Tatas in Tamil Nadu. The state has proven to be a leader in the electronics manufacturing industry.
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MK Stalin, the chief minister of the state, recently inaugurated a massive industrial housing complex constructed at a cost of Rs 706.5 crore. The facility will house around 18,720 workers, mostly women employed at the Foxconn iPhone factory.
In addition to the housing complex in Sriperumbudur, Apple’s vendors and suppliers are also planning to construct housing complexes for their employees in other areas through a public-private partnership model. The majority of the housing units are being developed by the State Industries Promotion Corporation of Tamil Nadu (SIPCOT). The Tata Group and SPR India are also involved in building homes for their workforce.
