Hengchi Automobile sales staff suspended work on a large scale and owed wages, and business in many places has been suspended

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Image source: Visual China Image source: Visual China

Reporter | Zhang Mingrui

After it was revealed that the Tianjin factory planned to lay off 60% of its employees, Evergrande Automobile was once again caught in a storm of wage arrears and layoffs.

On December 1, sales staff in many Hengchi showrooms across the country broke the news to Jiemian News that they had recently been told that they would stop working without pay.

A salesperson working in the Hengchi showroom told Jiemian News that several salespersons in the showroom have been notified to suspend work recently, and he himself received a written notice of suspension from work the day before yesterday, which was issued by Hengchi New Energy Automobile Sales Company. issued directly.

According to the content of the notice, due to serious difficulties in recent operations, the company will optimize its personnel and will suspend them for up to 3 months from December 1st. The notice also stated that if you want to join another company during the suspension period, you must submit a written resignation application at least 3 working days in advance, otherwise it will be regarded as automatic resignation.

Although the notice did not specify how the salary will be paid during the suspension period, the salesperson told Jiemian News that he has been clearly informed that all wages will be stopped during the suspension period, and the provident fund will no longer be paid, and only the most basic ones will be kept. social security.

The salesperson also told Jiemian News that many salespeople who were still in the probationary period did not even receive a formal written notice, but were only verbally notified of the suspension of work and pay.

The sales staff of the Hengchi Tianjin exhibition hall told Jiemian News that all the sales staff in the exhibition hall who have not yet become full-time employees have been notified of suspension of work and pay. He and another colleague have received this notice since January, but as of now, the team leader has not produced a written document after repeated requests.

In contrast, the situation in the Beijing showroom is better. Jiemian News learned from the sales staff in the Beijing showroom that only one person in the entire sales team has received a suspension notice. The salesperson stated that the explanation given for the downtime leader was failure to complete performance. Jiemian News confirmed that many sales staff learned that Hengchi did not set any performance appraisal standards before, and the monthly performance salary was automatically paid in full.

In addition to large-scale shutdowns, Hengchi also experienced large-scale wage arrears across the country.

A person familiar with the matter told Jiemian News that the Hengchi showrooms in most areas stopped paying salaries in October and November, and some areas in the south have not paid wages since September, and the reimbursement of advance funds for employees has also stopped.

The above-mentioned Hengchi employees who have been suspended without pay also said that they have suffered wage arrears to varying degrees.

It is understood that the salary of Hengchi sales staff consists of three parts: basic salary, performance salary and sales commission, and is paid in two batches on the 5th and 20th of each month.

The sales staff of the Beijing exhibition hall who had been suspended before told Jiemian News that they had not received any salary since the 5th of last month. Another salesperson in the showroom who has not been shut down said that his salary is still paid in full and on time, and all the benefits are as usual.

Xi’an Hengchi sales team staff said that due to two months’ salary arrears, all five grassroots employees of the entire sales team voluntarily proposed to suspend pay and stop work, and Hengchi’s sales business in Xi’an was also suspended. According to his description, they have been told since October that their wages could no longer be paid on time, and the salary payment time has been postponed from the 5th of this month to before the New Year.

After being owed wages for up to two months, the above-mentioned Tianjin exhibition hall salesperson who was suspended from work told Jiemian News that he had applied for labor arbitration to the relevant local department because of repeated communication with no results.

At present, many employees have been discussing in Hengchi’s internal work group chat. Hengchi has disbanded one of the large groups with more than 400 people. The voice of asking for salary is also in the comments of Hengchi’s official Douyin live broadcast room. appear frequently.

It is worth noting that in the reply given by Hengchi, the Spring Festival seems to be the deadline for salary payment. The leaders of Hengchi in Beijing, Xi’an and other places have all said that if the salary cannot be paid before the year, it can basically be declared that Hengchi is dead.

Up to now, all the suspension notices come from Hengchi’s directly-operated stores, and there is no news of suspension of work in franchised dealer stores. Some insiders said that Hengchi may want to squeeze out the huge direct-operated network through this move. Only the franchised dealer system is retained. At present, Hengchi’s offline sales channel adopts direct sales and dealers in parallel, but the threshold for joining Hengchi’s dealers is much lower than that of other brands.

Evergrande, the parent company of Hengchi, has long been in a financial crisis. Previously, in order to dispel users’ concerns about car purchases, Evergrande announced that all car buyers’ pre-sale deposits, big orders and car purchase balances will be paid to the special account of Tianjin Jinbin Notary Office for supervision. After that, the vehicle can be refunded within 15 days, and the money will be refunded directly from the account supervised by the notary office.

Obviously, in the face of the current situation of large-scale suspension of work and salary suspension, even with fair account protection, consumers no longer have confidence in Hengchi. A number of salespersons told Jiemian News that many car-booking consumers have asked for a refund of their deposits after learning about Hengchi’s salary arrears.

The Hengchi 5, which has just been delivered for only one month, also has frequent problems recently. Some bloggers said that Hengchi 5 had a system loophole right after getting it. The text on the car screen overlapped. The first delivery of Hengchi 5 is only 100 units, which shows that the failure rate of this model is not low.

The number of deliveries could not keep up, and the scale of suspension due to wage arrears continued to expand. Before and after the Spring Festival, Hengchi has become a life and death line.

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