Shoe Factory Rather Dig About 30000000 Dismiss 4000 Staff To Cause Suspicion

A shoe factory with about 4000 employees in Dongguan will be disbanded recently.

The factory concerned told reporters yesterday that the main reason was that the factory had to seek another development. For this reason, the factory would rather pay more than 30 million yuan of compensation to the more than 4000 employees who had been disbanded, while the related insiders said the factory was mainly designed to avoid the high cost of the new labor contract law, which is about to come into force.

The employee can get a maximum of 100 thousand yuan before leaving the factory. When he arrived at the shoe factory in Dongguan yesterday morning, the shoe factory, which once had 7000 employees at the peak, appeared very cold. At noon, the workers who were leaving the factory were only a few hundred.

Contrary to the shoe factory's cold shoulder, there are at least seven or eight shoe factories on the road near the factory.

Quite a few workers who came to the shoe factory to recruit the booth before they came to the shoe factory were consulted.

"Only the workers in the molding workshop are still at work, making the last batch of orders.

I am a judge. I have already had a holiday. I can leave the factory until the final settlement is settled. All the staff will leave the factory in December 15th. "

A sister from a shoe factory recruiting booth from Boluo, Huizhou, told a reporter in Sichuan.

The owner of a small shop in front of the shoe factory also said that many workers had already gone on holiday, and only a small number of workers were still producing. They will be dissolved next month.

The reporter then interviewed Mr. Zhou of the factory's human resources department. According to him, the shoe factory was built in 1989. The main reason is that the boss wants to switch to other industries. The compensation standards for employees will be issued in accordance with the labor contract law.

The longest working staff has worked for 18 years, and many workers have worked for more than 10 years. The compensation is compensated according to the standard of one month per month, less than one year by one year, and the highest compensation employee can receive 100 thousand yuan.

He himself has been in the factory for 11 years, the current salary is 3500 yuan, according to the standard, he can receive nearly 40 thousand yuan of compensation.

The total compensation amount should exceed 30 million yuan to nearly 40 million yuan.

As for the super standard compensation, the boss said it was "an example". As the Pearl River Delta continued to send out workers to avoid the new law, they often disbanded nearly 4000 employees in a shoe factory. Would there be any suspicion of evading the new labor contract law?

Mr. Zhou of the Ministry of human resources said, "definitely not.

If the labor contract law is implemented next year, the monthly salary of the workers is higher than that of the Municipal People's Government of the municipality directly under the central government or the municipal district where the employer is located, three times the average monthly wage of the local workers in the previous year. The standard of paying the economic compensation shall be three times the average monthly wage of the worker, and the maximum period of payment for the economic compensation shall not exceed 12 years.

At present, the salaries of our employees have reached 5000 yuan and 6000 yuan. We are all compensated by their actual wages, and the number of years is also compensated according to the actual working years. The maximum compensation can be 18 months. This compensation standard should exceed the compensation standard of the new law.

Reporters learned that in 2006, the average monthly wage of employees in Dongguan was 960 yuan, and three times only 2880 yuan.

As for why we should pay the compensation according to the standards of the super new law, Mr. Zhou said that their boss wanted to set an example in Dongguan.

"Although we have no objection to the compensation standard, we hope that the enterprises will operate normally and will not receive the compensation for the old employees who have worked for us for more than 10 years."

An old employee who entered the factory in 1996, Avon (a pseudonym) said that our best youth was dedicated to this factory.

The insider revealed that the implementation of the new law is a turning point. A person familiar with the matter told reporters that the dissolution of the enterprise was a decision after cost and profit accounting. The implementation of the new law just gave it an opportunity.

He said that recently, influenced by trade barriers and foreign trade policies, some orders for furniture and footwear industry in Dongguan have been reduced. In addition, the impact of RMB appreciation on these factories is also great. For example, the processing price of a pair of shoes in the international market is 10 dollars, which can be converted to RMB 80 yuan, and the processing price has not changed yet, but after the appreciation of the renminbi, 10 yuan can only be exchanged for 75 yuan. The wage payment of the boss should be paid in RMB, and the minimum wage standard for domestic workers will increase year by year, which will create double pressure on these manufacturers.

For some large factories that have been engaged in processing for many years, they are faced with the increase of labor cost after the implementation of the new law. Some factories choose to solve them one time at a time, which is another way to avoid the new law.

If the compensation is made according to the law, the labor department will be hard pressed yesterday. The reporter sent a telegram to the Dongguan Labor Bureau. The responsible person said that the labor department had already heard about the matter and would keep a close eye on the latest developments until all the compensation was put in the hands of the employees.

"For the time being, the amount and payment of compensation for shoes factories often comply with the relevant provisions of the labor law", the official said, because the implementation of the new labor contract law is coming soon. Similar incidents have occurred frequently in various areas recently. This is indeed a bit sensitive, but the manufacturers have compensated according to the law, and the management department has nothing to say.