Apple said that it forced the supplier to repay the affected workers.
Out of 757 suppliers included in the audit across 30 countries, 197 were being audited for the first time.
An interesting note is that while the grading of the facilities points to a positive development, the company uncovered 44 core violations in labor and human rights in 2017 - double the amount that the company found in 2016. Apple requires that corrections be made or it will consider cutting ties with non-compliant contractors.
Three of the most serious violations were debt-bonded labor violations. In one case, Apple said that it had discovered that one supplier charged 700 workers in the Philippines a total of $1 million in fees to work. It returned $1.9m (£1.37m) of wrongfully collected recruitment fees to 1,558 employees of suppliers a year ago, taking the total amount repaid from suppliers to $30m since 2008. The compliance for working hours across all suppliers in 2017 was 94 per cent, Apple said. The supplier's ethics policy and management systems are then thoroughly reviewed to identify the root causes and systemically correct them. Apple said when it finds that a supplier falsified data, it notifies the chief executive of the offending supplier and puts the supplier on probation until a fix is implemented. In addition, the supplier must revise all records to reflect an accurate accounting of hours worked by their employees.
Each assessed facility is ranked on a 100-point scale based on its performance relative to our Code of Conduct.
The number of violations is double that detailed in its previous supplier report, which Apple attitude to a rise in standards of its labour and humans rights performance a year ago, with the number of suppliers assessed as high-performing increasing by 35 per cent.
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71%In 2017, the number of low performers in our supply chain decreased by 71 percent. A score between 60 to 89 represents the medium performers.
As Newsweek has previously reported, Apple revealed in 2016 that 20 percent of its cobalt supply came "from sources that don't now have responsible sourcing programs in placeto meet our rigorous requirements".
Apple also uses the report to highlight initiatives it drives to improve worker conditions.
Apple also touted its new health program, with suppliers in India and China, which teaches women about the value of nutritional, maternal and preventative health care and provides access to services, including self-examination for early cancer detection, nutrition, personal care and maternal health. And it said that it had launched a program in China to train workers to become factory line leaders, who often make 20 per cent to 30 percent more than line workers. The report lists suppliers of sensitive metals such as tin and gold.
Last year, ten mineral and chemical refiners were dropped from Apple's supply chain after refusing to allow an audit to take place. Apple doesn't name the suppliers. CLW reported instances of student interns putting in more than 80 hours per week.