Foxconn Technologies, a Taiwan-based contract manufacturer for Apple, had to close a factory in China early Monday morning (their time) due to riots. The details remain scarce but the factory, which employs 79,000 workers, are saying the riot was because of a “personal dispute.” The  riots were sparked at one of the factory dormitories in the Shanxi Province. Out of 2,000 involved workers, approximately 40 were reportedly injured. About 5,000 police were said to have been on the scene.

Foxconn has halted production due to the riot. This could spell bad news for Apple as the Taiwan company is the supplier of iPhone 5’s backplate and Apple sales have already surpassed record numbers over the weekend selling over 5 million smartphones over the weekend alone.

Here is a YouTube video depicting part of the Foxconn riots…

Back in March, the factory was subjected to another riot, only this time due to payment dispute involving hundreds of workers. MICGadget.com reported that an entry-level worker at Foxconn is paid “1,550 yuan (US$245) per month, rising to to 1,800 yuan (US$285) per month after three months. When bonuses and overtime pay are included, a worker may typically earn between 2,200 and 3,500 yuan (US$345-$550) a month.”

Supposedly, a Shanghai Evening Post journalist went undercover at the Taiwan plant earlier this month. He described his orientation, plant security and his job, which had recently obtained the contract to manufacture the backplate of the new iPhone.

Stay tuned to hear the latest updates about the factory and potential impact on impending iPhone 5 sales.