The plant in China which manufactures the iPhone 5 and other gadgets has stopped hiring workers at its Shenzhen facility, but denied it is connected to any customer.
Foxconn also makes products for Hewlett Packard and Dell and said an “unprecedented rate of return of employees following the Chinese New Year compared to years past” meant there would be “temporary slow down” in recruitment, reported Reuters.
HumanIPO reported last week Apple and Android claimed a 87.6 percent market share during 2012, but only 47.8 million iPhones were sold in the fourth quarter – fewer than expected.
Foxconn spokesman Louis Woo was responding to a Financial Times report which claimed the stop in recruitment was connected to a slow down in iPhone 5 production.
Woo said: “This action is not related to any single customer and any speculation to the contrary is false and inaccurate.”
The estimated return rate for migrant Chinese workers after the holidays is usually between 70 and 80 percent, but Foxconn said it reached 97 percent this year.