As a brazilian myself, I saw the news about it in the last few days in our local media.
Foxconn is in Brazil for serveral years. The main problem of water was reported as a temporary supply problem from the public water system, not Foxconn fault.
The second biggest problem was reported about the buses being overcrowded. This is most probably because Foxconn hired a lot of workes recently to increase its production and the guy responsible for transportation made a lousy job to handle the extra workers.
Also, the union president said the strike is very unlikely because Foxconn said it was already taking care of the situation. They aren't striking for salaries, bonus, or anything else related. The union just made a warning for Foxconn to act quickly.