What Are The "Redundancies" And "Labor Shortage" In Corporate Oddity?

It should be said that the "layoff fever" in the 2008 financial crisis directly or indirectly led to the subsequent "downsizing". Labor shortage "

The financial crisis of 2008, many enterprise In the depression situation, we had to deal with layoffs; the implementation of the 4 trillion stimulus plan in 2009, at the end of 2009 and early 2010, finally ushered in the dawn of "stabilizing and recovering". Happiness has come so fast that strikes have caught people off guard. Even before we could enjoy the joy of dawn, the shortage of labor in enterprises once again led to a stalemate in the development of many enterprises.

Encountered labor shortage, how many companies panic? wages Cutting corners, reducing job requirements... The result is still lack of people. Survey data show that the phenomenon of "labor shortage" mostly occurs in the labor-intensive industries, such as manufacturing and service industries, with the most serious coastal areas, and some provinces and cities in the mainland also have different employment gaps. Although governments and enterprises in various parts of the country are actively dealing with them, the shortage of labor has indeed been trapped in many enterprises.

Some experts say that labor shortage is a new phenomenon with Chinese characteristics, and that it has an inseparable relationship with China's own economic system and social distribution system. With the public's attention and enthusiasm about the phenomenon of labor shortage, the key exposure rate of low salary, shortage of rights, lack of training system, changes in the structure of labor force and values of new generation of migrant workers increased rapidly. Wages are too low, PK prices rise, enterprises speak unilaterally, PK workers' rights, technical personnel are scarce, PK social training system, product technology upgrading, PK labor structure, all kinds of contradictions lead to "labor shortage".

While experts are talking about the shortage of labor, there are also some minority opinions that are worth considering. "All kinds of research on the shortage of labor in enterprises have neglected a fact that labor shortage is not only a sequela of the financial crisis, but rather a legacy of traditional enterprise management and industrial development mode." Unlike many busy and busy recruiting companies, the head of the personnel department of a textile enterprise seems calm. "A large number of layoffs and labor shortages reflect the huge fluctuations in the number and amount of orders, and the fluctuation of orders indicates a very serious problem -- customer churn. Of course, the financial crisis has caused many export-oriented business customers to lose a lot and orders have shrunk dramatically, but this is not the whole problem. Another reason for the loss of customers is that the market supply and demand change has triggered an unprecedented competition for customers. At this time, it is the most easy time for an enterprise to lose its customers. Customer loyalty also shows unusual value at this time.

Although the person in charge of the personnel department has only reached the point, it conveys a very clear message, that is, customer loyalty is related to the survival and death of enterprises, especially at the critical moment of crisis. Facts have proved that customers with poor loyalty are most likely to lose their customers, and thus lead to sharp reduction in orders to layoffs. And when the economy is picking up and stabilizing, it is the right time for development. These enterprises are suffering from labor shortage. The whole process reveals a fact that the loyalty of customers is not satisfactory. Obviously, in the midst of crisis, those companies that can penetrate customers deeply are often more competitive in customer competition and less likely to lay off workers. At the same time, enterprises that focus on employees and enterprises and employees are also more competitive. "In the new competitive situation, the traditional industries such as manufacturing and service industries have no longer the advantage of" low cost ", and it is urgent to establish new competitive advantages. In addition to speeding up the technological transformation and upgrading of the products and optimizing the manpower structure, it is more important to enhance customer loyalty and employee loyalty. In the case of shrinking market, customers and employees are important support for enterprises to tide over difficulties.

Whether the voice from the personnel department can shock the managers or even shake the whole business mode is unknown. But customer loyalty and employee loyalty are not a strange and illusory concept. They even have mature customer relationship management concepts and tools to explore and help enterprises solve this problem. Customer Relationship Management (CRM) is designed to help traditional enterprises change their management mode and profit mode, implement customer centered strategy in enterprises, enhance customer loyalty and benefit customers rather than reduce costs and reduce employee benefits. Moreover, in the theory of customer relationship management, employees have been included in the generalized "customer" category to help enterprises improve their loyalty. Perhaps, this will be the secret of future enterprises in the crisis. {page_break}
 

It should be said that from the 2008 layoffs to the shortage of labor in 2010, it is a labor pains of traditional industries. The coordination and support of the government and the Countermeasures of enterprises may alleviate or shorten the labor pains in varying degrees, but from another angle, this is a necessary course. After the labor pains, it is industrial transformation and industrial upgrading. Innovative management concepts and information technology will be necessary weapons in the process of upgrading traditional industries.

For many shoe companies, especially the processing trade shoe factories in the Pearl River Delta region, the root cause of serious labor shortage this year has been buried two years ago. In 2010, the lack of labour in the PRD reached more than 2 million, and factories were worried about hiring workers. In 2008, it was also in the Pearl River Delta that the financial crisis struck the order of shoe factories, and factories cut down the cost of workers in order to save costs. At that time, some shoe factories laid off more than 50%. Workers are not a simple commodity. They are just being pushed away. Even though the layoffs in the financial crisis are not the root cause of labor shortage, they reflect the huge defects of Chinese factories. An enterprise can fire 50% of staff at any time, and the basic interests and benefits of employees are not guaranteed. This reflects that enterprises have long regarded workers as inertia thinking with low cost and lack of humanistic concern.

This year's booming Foxconn jumping incident is precisely the result of this kind of defect being concentrated to the extreme. The cruel fact of "Thirteen consecutive jumping" has made the survival state of the workers become the focus of attention from all walks of life. In this social discussion, the footwear industry should have seen many familiar words and familiar viewpoints, and should also reflect on and take precautions. Although the footwear industry has not yet seen such large-scale excesses, problems such as labor conflicts, low sense of belonging and mobility have been in the footwear industry for a long time, which is the main reason for the difficulty of recruitment.

As we all know, the migrant workers who are now working in cities are new human beings born in the 80s and 90s of last century. The implementation of family planning has made the absolute quantity of this population unable to match the "working force" in the 90s of last century. The improvement of education level, the improvement of rural living conditions and the acceleration of urbanization have greatly dispersed the employment of rural labor force. The goal of these young people to work in cities has changed from their "basic survival" to their "decent life". Their desire is no longer working hard and working hard all year, sending money home to support their families and no longer satisfied with selling their cheap labor mechanically and repeatedly. This is also the inevitable result of the awakening of human consciousness and the progress of thinking after social development. Migrant workers are eager to integrate into the city and change their own destiny. It is in this era background that the daily work of the streamlined work in the shoe factory is much more attractive to the current migrant workers.

Is it a good way to raise salaries and move inland?

The first measure taken by Foxconn for jumping out of buildings is a raise. It is reported that the maximum increase has been as high as 66%. As a means of crisis public relations, Foxconn hopes to pacify the staff of panic. It is also before and after the move of Foxconn that several cities in the Pearl River Delta region have announced the raising of minimum wage standards, for example, Guangzhou has been transferred from 860 yuan to 1030 yuan per month, and Dongguan has been transferred from 770 yuan to 920 yuan a month. Shenzhen has been transferred from the special zone within 1000 yuan / month to 900 yuan / month outside the special zone to 1100 yuan / month. Next, it triggered a nationwide wage increase. Since then, more than a dozen provinces and municipalities have raised the minimum wage in China, increasing by an average of more than 10%.

Salary increase is also the best way to attract employees in the labor shortage factories. The increase of interest is undoubtedly the most intuitive and attractive. In Wenzhou's private shoe enterprises, in recent years, after the Spring Festival, employees will be awarded bonuses to employees who have returned to the factory early. As early as this year, the government adjusted the minimum wage standard. In Guangdong, Fujian, Zhejiang and other places, shoe enterprises had already mentioned their wages in order to solve the difficulty of recruiting workers, but how effective they were, and they knew all about the shoemaking industry. The fundamental problem of China's labor shortage now is that there has been a clear contradiction between China's labor costs and its profit model. Even if the enterprise raises the salary within the limits of its ability, but hundreds of dollars per month can not solve the practical problems in life. The average remuneration per hour of Chinese manufacturing workers is still only 6% of the US hourly wage. The welfare benefits of the elderly, housing, children's education, medical care and so on, which are urgently needed to be solved by Chinese workers, are still unreachable. Hundreds of dollars in monthly wages can not catch up with the soaring housing prices in China, which can only offset the soaring prices of Chinese rice and oil. Chinese shoes still can not afford cheap labor to produce cheap goods and earn the smallest profits.

The second measure taken by Foxconn is to move inland, transfer the production line of Shenzhen to the inland provinces, reduce the cost of labor and relieve the pressure of employment. This move is no longer a novelty in the shoe industry. A few years ago, "East shoes moved westward" has become a hot topic in the industry. Industry follows the migration of the cost of land, manpower, resources and so on. This is the behavior determined by economic laws. However, what we do not want to see is simply following the low cost of enterprise migration, continuing to replicate the low profit processing mode in the inland provinces, and then facing the same embarrassment after a few years. The process of economic integration in China is accelerating, and the difference between urban and rural areas is shrinking rapidly. How many years can the cost gap between Sichuan and Guangdong maintain? How many years can Henan's low-cost labor resources be used for the relocation of enterprises? What is doubtful is that Chinese shoe factories can continue to move to the middle and continue to rely on low labor costs to survive.