Japanese Honda Motor will fire China joint venture car company Guangqi Honda Honda900 contract workers.This is the first layoffs since Honda Motor has established a joint venture with GAC Group in 1998.
Comprehensive Reuters and First Financial reports, Honda Motor spokesman said on Saturday (December 2) that the output of automobiles has declined, so it can only terminate the personnel dispatch agreement with the labor company.
The spokesman revealed that the number of layoffs accounted for 7%of GAC Honda's approximately 13,000 employees, but refused to explain which car model of the production line was cut.
GAC Honda said that the labor dispatch work system is the employment system that GAC Honda can flexibly adjust according to production needs.GAC Honda will provide economic compensation in accordance with laws and regulations, and actively assist relevant personnel to recreate.
The production and sales data released by GAC Group shows that in 2022, GAC Honda's cumulative output was 767,800 units, a decrease of 2.45%year -on -year; cumulative sales were 741,800 units, a decrease of 4.93%year -on -year.GAC Honda's production and sales this year further deteriorated. The cumulative output in the first 10 months was 520,500, a decrease of 20.52%year -on -year. The cumulative sales of the first 10 months were 499,400 units, a year -on -year decrease of 21.55%.
The global automotive industry has shifted to electrification, and Japanese car companies, which have always been conservatively, failed to keep up with the pace of transformation. Therefore, the Chinese market in the high -speed Chinese market of electric vehicles faces the dilemma of declining production and sales.
In July of this year, GAC Toyota also issued a statement saying that, given the recent production level, the company terminated a contract for about 1,000 labor dispatch employees in advance.
In some reports, because of weak sales, Toyota Motors will implement local discontinued production. Toyota Motor spokesman responded on Saturday that some aging production lines in GAC Toyota have been discontinued.
