One manager was detained in the mainland four months ago, and several others quit their jobs and returned to Taiwan, said the report.
However, Foxconn did not disclose any details relating to the report, and did not comment on how long they think the investigation will last.
It is the latest in a series of recent scandals that have put the company under the media spotlight.
In October last year, Foxconn, which is famous for being the world's largest supplier for Apple Inc, apologized for having hired 56 minors, aged from 14 to 16, to work as interns.
Questions were also asked about work practices at the company following the suicide of more than 10 of its workers.
Shares in the Hong Kong-listed company closed down by 2.91 percent Thursday, against a slight gain by the Hang Seng Index of 0.6 percent.
In a separate news release e-mailed by the company, sales for 2012 reached NT$3.22 trillion ($111.4 billion), an increase of 16 percent over the year before.
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