Recently, news of large-scale layoffs has once again emerged from Xinhua News Agency, involving various departments. Both new and old employees are on the same page, which has attracted widespread attention
According to netizens, Xinhua San has implemented significant layoffs and a fresh compensation plan has been released. Fresh graduates will receive compensation of N+1 for more than half a year, N+0.5 for less than half a year, N+3 for senior employees, and a 50% floating bonus. This compensation standard is second to none in China, and for the senior employees of the company, such compensation is undoubtedly a considerable income, enough to allow them to enjoy a comfortable Spring Festival holiday.
From employee feedback, it can be seen that senior employees are generally satisfied, with only recent graduates wailing everywhere.
The cause of the incident was that Yu Yingtao, President and CEO of Xinhua Third Group, issued an internal email to all employees on November 23, announcing that the company's middle and senior executives and senior employees would voluntarily reduce their salaries, involving cadres at level 15 and above, and employees at level 16 and above, with a maximum reduction of 20%. This measure seems to be in response to the slowdown in the company's performance growth. However, just three days later, grassroots employees received a call to lay off employees. Employees who are laid off will receive a certain amount of compensation, but will not receive year-end bonuses.
On social media platforms, some voices have pointed out that there is no unified proportion and date for Xinhua San's layoff actions, and the execution speed varies among different departments. First, start with old employees, followed by fresh graduates. It is reported that this year's fresh graduates have been delayed in joining. After joining the company, it takes six months to become a full-time employee, but now, just three months later, a large number of fresh graduates have started to be laid off.
Although Xinhua San's performance has declined, it is clearly profitable overall. Why did it carry out large-scale layoffs?
According to employee feedback, the management of Xinhua San does not have many stocks. We cannot sell stocks and run away, so we hope the company can make steady profits every year. That's why there are a lot of layoffs despite decent profits. Old employees need N+1 compensation, while fresh graduates only need one month, which is the lowest cost. Because of the excessive compensation given this time, Xinhua San has indeed won back some reputation, which makes many people feel that Xinhua San is still quite conscientious.
*Reprinted from Chip Vision official account
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