Labor Costs Soared By &Nbsp; Express Industry Is Closing Down.

CCTV November 21st "economic half-hour" program broadcast "labor costs gradually increased, the express industry is facing a sharp rise in prices".

Xie Yingying: as a labor-intensive enterprise, the biggest cost of the express company comes from the labor cost, which accounts for about 28% to 45% of the operating cost of the company. Second is its pportation cost, accounting for about 20% to 30%. The cost of labor, pportation and technological pformation is the three big mountains on the top of the express delivery industry.

Commentary: Li Haitao is an ordinary delivery employee from Beijing STO Service Co., Ltd.. At three o'clock in the afternoon, he just completed a regional express delivery and rushed back to the company. This is his lunch and the first meal today. After dinner, Li Haitao left his mail bag and set off.

The first station in the afternoon was the logistics center not far away from the company. After careful identification, he walked into the central building with the express mail.

Reporter: both of them are international.

Li Haitao (Beijing STO Co., Ltd.): Yes, they are all international.

Interviewer: how many days do you need to send a list like this?

Li Haitao: about 80.

Interviewer: wrong, right?

Front desk: no 301.

Li Haitao: 302?

Front desk: we don't have 301 or 302.

Commentary: sending a member to the wrong place will increase pportation costs and working hours, but Li Haitao told us that sending the wrong place in the express delivery industry is very common.

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Reporter: often there is such a wrong building, and then look for it again.

Li Haitao: Yes, sometimes he doesn't write A block B in this building. Sometimes he goes wrong.

Commentary: Li Haitao said, now is the peak season of the express delivery industry. Every day there are a lot of express mail. Sometimes, because the client address is wrongly written and sent back, when Li Haitao is running around, the general manager of Beijing company Ma Honggen is also busy.

He told reporters that if there was no increase in prices, it is hard to say whether there is any opportunity for journalists to interview.

Reporter: if we do not raise the price of 26 this year, will we really face the danger of business failure?

Ma Honggen: surely it will not survive and support will not last long.

Explanation: Although Shentong goes smoothly

Li Haitao: we usually have more than seven o'clock, after eating it.

Interviewer: what time are you busy?

Li Haitao: busy at the latest, if the item takes too much, or the delivery is very much, it usually takes more than eight points.

Commentary: after confirmation of the address, Li Haitao finally found the company where the client was located, delivered the courier, signed the customer's acceptance, and after these procedures, Li Haitao put away the signature sheet, so that one item was completed.

At half past seven in the morning, they arrived at the unit, and began to deliver express delivery at eight o'clock, until eight p.m., which was Li Haitao's daily work.

Reporter: did you just send the last one?

Li Haitao: Yes.

Commentary: employees work overtime, Ma Hong root is also very distressed, Ma Honggen said, such as Li Haitao front-line staff more than 4000 people, and these workers wages accounted for more than 60% of the total labor costs, due to the rise in labor costs, recruitment has become increasingly difficult.

Ma Honggen: as for the employees, it might be like those of our warehouses, who may be able to work at two thousand yuan. This year, there is no money for three thousand yuan. No one can do it. Salesmen are really hard. There is no way to do this. It is hard to do this industry, and it is becoming more and more difficult.

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Commentary: Li Haitao said that he only had 4 days' rest every month. He had to work overtime frequently because of the increase in express number recently. What about the wages of the employees who work overtime frequently?

Reporter: now the salary.

Li Haitao: the salary is four thousand or five thousand yuan. In the off-season, if the off-season is about more than 4000, during the peak season, now we have more than five thousand yuan in the peak season.

Reporter: is the salary of last year the same as this year?

Li Haitao: last year's

Commentary: Ma Hong root tells us that although Shentong company is famous in the industry, the gross profit margin of Beijing company last year is only 2% to 3%.

Reporter: was there any profit last year?

Ma Honggen: anyway, basically flat, there is no big profit.

In contrast to state-owned and foreign investment, private courier has been taking the low price strategy to occupy the market. But after 2009, the low price private couriers seem to be unable to do anything. At the end of November 2009, the express companies of Shen Tong and Zhong Tong announced the price increase. By 2010, around the end of 2010, the price surge of the second round hit the express industry. By the end of 2010 October, the company started the third price increase. The fourth express wind speed announcement in March this year announced that the price had increased. After half a year, the company began to raise the price again, causing a fifth wave of price rise. The frequent increase in private courier's small step speed had a great impact on the e-commerce market. Xie Yingying: at present, there are mainly three types of enterprises in the express industry: state, private and foreign capital. Among them, private express companies have the largest market share and nearly 80%.