Byd Cars Starts Large-scale Layoffs

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Yesterday, BYD's insider said it is actually biggest ever range of layoffs of BYD's marketing company. It is related with all sectors of the sales companies. Several other departments including the Boutique Development Department will be disbanded. The number will decrease from 2600 to 800. This Adjustment will be referred to as optimization by BYD.

So far a large part of the employees that are optimized are graduates recruited in 2010. The enrollment is about 1,000 people, most of who have chosen to leave. Because it is voluntary resignation, so there is no compensation for these employees to resign. The company said that it is the company's normal personnel change. The marketing department has not revoked, nor dissolved.

Many people who left BYD analyze that the main reason for the big layoffs is last year's frenzied expansion. And the decline of 90% in performance in the first half of this year is the powderhose. The company needs to control costs, which leads to staff reduction.

On August 5, the general manager of BYD Auto Sales Xia Zhibing just left. Previously, the third general manager Sun Yi-zao and some leaders of sales areas have left. There is a deep internal contradiction. And this is not unrelated with a strategic mistake in last year. In 2010 BYD set an aggressive sales target of 800 000 cars. After that, it began the crazy enrollment of staff to expand the dealer network. However, in 2010 it does not achieve triumph in sales of BYD cars. A large number of dealers began to quit the cooperation.

In the first half of 2011, the operating income of BYD is 22.545 billion yuan, a decrease of 10.77%. The net profit attributable to equity holders was 2.75 billion yuan, down 88.63 percent, which is a very large number.Since last year, BYD who has maintained rapid growth began to decline. In the first half of this year, BYD sold only 225,800 units of cars, a decrease of 22%. BYD Company Limited announced on Monday that the net profit in first half plunged 88.6%.

In the March of this year, BYD had a massive layoff. In the earlier of this month, the vice president and the general manager of BYD auto sales left in the summer. The speculation is due to the poor performance of BYD. The analysts of the industry say that it is still a mystery for BYD in the next few years.


About the Author:
I am Amanda Xia from xpshou.com, and my work is to promote a free online trade platform. http://www.xpshou.com contains a great deal of information about car wash franchises , car detailing supplies , car antenna toppers , and more.



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