Xingyu Penalizes 4 Executives After 370 Graduates Faced Mass Dismissal
Updated
Updated · IndexBox, Inc. · Sep 14
Xingyu Penalizes 4 Executives After 370 Graduates Faced Mass Dismissal
3 articles · Updated · IndexBox, Inc. · Sep 14
Summary
Four Xingyu executives were punished after the automaker supplier said misjudgment and hasty decisions led to its handling of more than 370 newly hired graduates.
Two senior executives took pay cuts, while two HR managers were dismissed or demoted; the company also pledged to help affected former employees find new jobs.
In early August, the Shanghai-listed lighting maker gave the graduates a choice: resign for half a month's salary or move from technical office roles to factory-floor work such as tightening screws.
Xingyu said 107 graduates chose to resign, and the episode triggered a backlash that drew criticism from People's Daily as a trampling of social trust.
The case has become a flashpoint for China's weak youth job market, rising labor disputes and corporate belt-tightening during a broader economic slowdown.