Notebook supply chain starts preparing 1Q15 orders to minimize impact of labor shortages
Aaron Lee, Taipei; Steve Shen, DIGITIMES [Thursday 20 November 2014]

With the notebook supply chain’s labor shortages in the first quarter of 2015 expected to be a lot more serious than in previous years, some notebook brand vendors such as Dell have asked suppliers to start processing their orders in December, a month earlier than usual, according to sources from the upstream supply chain.

To satisfy the demand, notebook ODMs have already launched hiring activities to minimize the impact of labor shortages in the first quarter of 2015, said the sources.

Labor supply in China has been tight since the third quarter of 2014 when Foxconn Electronics, Pegatron Technology and other downstream suppliers began to manufacture and assemble iPhone 6 devices for Apple, the sources noted.

With Quanta Computer to begin shipping Apple Watch in the first quarter of 2015 when a lot of workers are ready to go home for the Lunar New Year holidays, labor shortages will worsen, added the sources.

While notebook ODMs are set to brace for strong shipment performance in the fourth quarter of 2014 due to an upsurge of orders from their clients, they will see their shipments decline in the first quarter of 2015, noted the sources

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