The Clothing Industry Is In A Strange Shape: Wenzhou Clothing Companies Would Rather Lose Money Than Hire Workers.

"I would rather lose money than hire."

Come from

This is a bit puzzled by Mr. Li's boss.

After all, if companies fail to take orders, they will not be able to sustain them, and they will need a large number of workers to complete their orders on time.

In Li boss's abacus, the cost of recruitment is even more than that of some orders, because he can not make an accurate judgement of the future economic situation. He dare not take risks.

No recruitment, some new orders can not be answered naturally, Lee boss can do now is to maintain some large old customers as far as possible.

Engaging system

Li's boss is different.

The export oriented Wang boss shifted his orders to Bangladesh while he laid off a lot of jobs. He bought a lot of office buildings a few years ago, and now a large proportion of them are rented out, which is more cost-effective than raising employees.

Faced with the downward pressure of the economy, employees of the bosses of enterprises are important accounts.

"At the end of this year or early next year, we will find that migrant workers will be unable to find jobs again, especially in the eastern coastal areas."

Mr. Wang made such a judgement.

Variation order

There are about 1000 workers in the shoe factory of Li boss, and about 200 people were cut off last year.

"Now the wages of the most common worker will be about 3000 yuan."

He said, "the fourth quarter of last year began in Europe.

As the market began to turn worse, the impact of the European market on Wenzhou was particularly serious.

"A little better recently, but most of the new orders are seasonal orders.

There are a lot of factors to replenishment of shoes.

Lee boss analyzed.

The sudden increase of orders mainly comes from two aspects, one is the seasonal order in the European and American markets, and the other is the overseas market supplement. "The quantity of these orders is not large compared with the past, but the delivery time required for delivery is rather urgent."

At present, the economic downturn, the reduction of customer orders, the trend of becoming smaller and smaller is increasingly obvious.

In Li boss's factory, he received a large order of hundreds of thousands of millions of dollars before, and the company could make an effort to deliver the goods only for a year. As long as the recruitment season was full, there was no need to worry about not recruiting workers in the off-season, but now it is not the same. Customers have to decompose a large order into several small orders for the factory, and sometimes they have to deliver the goods in one or two months. The cycle is short and the demand is high.

"We should know that delivery on time is more important than cost, and it will be fatal for enterprises if they fail to get a job."

Lee boss said.

Paradox is that it is not enough to receive large orders and not to hire.

Because orders are only seasonally warming, consumption in Europe and the United States has not rebounded sharply.

If the present recruitment of workers is bound to be overstaffed after the rush of work, the new labor law stipulates that the compensation for layoffs is very high, and most factories will not be able to afford it.

Production materials and working capital can be stored, but human resources are hard to store. People are full. If they fail to get orders, they will soon collapse after a month.

"Orders have changed so rapidly that higher demand for flexible supply of human resources chains has been put forward. The reality is that the existing mode of labor supply is not flexible enough to keep pace with changes in orders."

Lee boss said.

Reluctant to hire

This is also a headache for Li boss.

Not long ago, the factory received an order of $3 million.

"The profit of the whole order is 1 million yuan. If I want to deliver the goods on time, I have to open several production lines and dozens of workers.

But I figured out that the average salary of 30 workers per person is 50 thousand ~6 per year, because there are various kinds of insurance and so on, which is 1 million 500 thousand ~180 million per year.

The labor contract law stipulates that the contract is at least 2 years, so that the cost of these workers will be 3 million ~400 for two years.

Li boss said, "it is not a big chance to receive such a list. I prefer to give up and do not want to recruit for this purpose."

In his view, training a worker for at least 3 months, including salary, training costs, loss of defective products, etc., the cost equivalent to 1 employees 5 months of wages, about 12 thousand yuan.

"But it is estimated that the 1 trainees' benefits to the enterprises in the first, second, third months of their training are equivalent to 1, 50%~60%, 80% and 100% of the old employees," he said.

He admits that in the long run, this is a good thing to do, "but now the situation is not clear enough to sustain so many people."

Recently, a private boss from a university teacher, "do not recruit people now," has aroused many private entrepreneurs' sympathy.

Li boss also read this article, he said: "protecting workers' interests is not wrong, but since the introduction of the labor contract law, the days of enterprises have become increasingly sad, and a labor contract law has completely opposed the two."

"Now I often tell my factory's professional managers and middle-level managers, never hide and try to cover up any emotions and contradictions. The factory of the more than 1000 party is actually very difficult to manage. Sometimes, professional managers try to hide workers' emotions, so accumulation will lead to greater contradictions.

We are a little scared now. "

He said, "as long as the workers are going to sue you, it will not only compensate for the loss, but also cause greater trouble."

Apart from cost factors, Li boss's factory has repeatedly compressed staff numbers, and another reason why he no longer recruits is that the more factories there are, the harder it is to manage them.

"Everyone has different ideas. Today's workers are very different from 10 years or 20 years ago, and have many ideas, and they will tell you all the time."

Lee boss said.

Enterprise Countermeasures

"Now I try to keep some big customers, big orders, even if I can't work out, I will keep them first if I lose money."

Li said, "I also set up an office in Shenzhen, specially for orders.

Train some large customers and turn to factories in the mainland or Vietnam or Bangladesh.

However, the shoemaking enterprises are not very good at present, because the process is much more complicated than the garments, and the matching in other places is also not enough. If we add logistics and other costs, there will not be much difference between the pfer and the cost in Wenzhou.

But boss Lee judged that in the long run, enterprises must be pferred.

"Now we are almost trading companies, factories will be compressed again and again."

He said.

Most companies choose not to start or start less, preferring to subcontract their orders to other factories in the mainland.

with

Wang's boss has shifted all orders to Bangladesh. "The clothing industry is not so complicated. It's easier to pfer.

Our company in Jiangsu mainly takes orders, and slowly I will cut down the factories.

He laid off 1/3 of the staff last year. "This building was bought by me a few years ago, and the number of employees who had cut down their employees and rented out several layers of rents is now very high, which is much more cost-effective than I have so many employees."

He said.

On the other hand, it is to make an issue on the management of the existing staff.

"Employees are wealth, the distribution mechanism must be" personalized ", Li boss said," 1 people can complete 3 processes, and can open 3 locomotives at the same time, so we can not use traditional timing system and piecework system to calculate salaries. His income should be pulled away from ordinary employees. Starting from this year, the company put forward "how much wages should be paid, and employees have the final say", so that employees can integrate their skills and positions to give a price.

Some of our multifaceted employees can earn 6000 yuan a month, 30%~40% higher than the average employee.