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    To Compete For Young Talent, UNIQLO Raises Salaries For New Employees.

    2019/4/8 13:40:00 12542

    UNIQLORaise Salary

    Fast fashion card wars are becoming more and more intense. UNIQLO is hoping to seize the lead by grabbing the best talents.

    According to Nikkei Chinese news, the fast fashion group of Japan's fast fashion UNIQLO parent company will raise the salary level of its employees. The monthly salary of 650 graduating graduates scheduled for April 2020 will be increased by 21% to 255 thousand yen, or 15 thousand yuan, compared with the current 210 thousand yen.

    At the same time, Xun marketing group also said it would consider raising salaries for employees who were recruited before April this year to ensure fairness.

    The intention behind the increase is to attract more talented young people, support their brands and better expand the global scale, explains Xun group.

    According to the Sanro Research Institute Inc. survey conducted by private think tank, as of April 2018, the average monthly salary of Japanese graduates was 206 thousand yen, and most of the Japanese companies made less pay last month than the previous year due to uncertain global economic prospects.

    Some analysts pointed out that UNIQLO could become a global brand without the precise judgement of the founder Ryui Matsushi market and the successful employment philosophy.

    In 2014, UNIQLO was named "the most desirable enterprise in the new generation" by Cheers magazine. It is not only popular among young people, but also one of the largest number of Japanese companies in the world.

    Ryui Masa opened the first UNIQLO store in 1984 and gradually expanded the brand to more than more than 2000 stores in 20 countries around the world. At present, the fast selling group has grown into the third largest clothing manufacturer in the world. Its brand owns UNIQLO, Theory, GU, J Brand, HELMUT LANG and Princesse tam.tam. It is regarded as one of the main competitors of the Zara parent group Inditex group and the H&M group in Asia.

    Ryui Masa said that UNIQLO brand clothing for all types of consumers, whether they are billionaires, middle class or low price customers, and in the rapidly changing fashion retail market, the actual operation must be responsible for young people, insight into the joy of young people, their successors not only need the ability, but also have rich digital experience, in order to be able to quickly make new business judgment according to market changes.

    In fact, Ryui Masa announced earlier that he plans to retire at the age of 65, but once he was in a difficult position in the performance of the brand, he retook power in order to adjust his business. In 2013, he withdrew his decision to resign at the age of 65. Until last year, Ryui Jungcai formally decided to give up the post of chief executive at the age of 70, but he would continue to "supervise" the operation of the company as chairman.

    It is reported that the new CEO will not recruit from outside, but from the executive directors and other internal staff.

    At present, there are more than 40 executive directors in XXX group.

    Ryui Masa's two sons are among them, but Ryui Masa has earlier denied that he regards his son as chief executive candidate.

    In the past two years, Ryui Masa will embark on a comprehensive plan for training successors, but it remains to be seen whether we can train young successors who can shoulder heavy responsibilities.

    In terms of channels, UNIQLO will connect the global distribution channels with a new website. In terms of products, in addition to strengthening the basic product line, it will also sell exclusive single products online. UNIQLO also plans to accelerate its expansion in Asia as the main overseas market in the current fiscal year, with special emphasis on the increase to 1000 stores in 2020.

    With the expansion of its business scale, UNIQLO's overseas market revenues surpassed Japan's domestic market for the first time in fiscal year 2018.

    According to fashion headline data, UNIQLO's sales in overseas markets including greater China last year rose 26.6% to 896 billion 300 million yen, or 55 billion 100 million yuan, while UNIQLO Japanese sales increased by 6.7% to 864 billion 700 million yen. The group's overall sales rose 14.4% to 2 trillion and 130 billion yen, or about 131 billion 400 million yuan, and net profit rose 29.8% to 154 billion 811 million yen, or about 9 billion 500 million yuan, to close to the mark of invasion.

    In the first quarter of November 31st, sales of UNIQLO in Japan fell 4.3% to 246 billion 100 million yen, while sales in overseas markets rose 12.8% to 291 billion 300 million yen.

    Among them, UNIQLO's performance in mainland China was the most significant, with double-digit growth in both revenues and profits, mainly due to the brand's overall channel layout in the market.

    In addition, due to the readjustment of product mix and channel layout in the US market, UNIQLO's performance in the market has finally improved, and both revenues and profits have recorded a substantial increase.

    The accelerated growth of UNIQLO enabled Ryui Masa to become the biggest winner in the fashion circle in 2018. His fortune increased by 7 billion US dollars, equivalent to a daily net profit of 130 million yuan and net assets of 27 billion 100 million dollars. He was also the only billionaire from the fashion industry who entered the ten biggest winners.

    LV parent LVMH boss Bernard Arnault and fast fashion Zara boss Amancio Ortega did not enter the ten fortune growth winners, but ranked fourth and sixth respectively on the list of billionaires list.

    In the history of UNIQLO's growth, it has gone through numerous dangers and suffered a lot. But every time Ryui Masato looks very calm. In his view, UNIQLO is essentially a technology company, and its competitors are apple instead of Gap. Therefore, talents will be a key part of the group.

    Author: Zhou Huining

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