According to the power pig price, on February 10, the price of pigs in many provinces fell into the 5 yuan range, and the lowest price of selling pigs fell to 5.5 yuan / catty! The trend of pig prices is chilling, but the greater crisis may be still ahead, because it is not difficult to find from the recent "abnormal actions" of Tang Renshen that Tao Yishan has foreseen a new crisis in 2022!
Pig price and danger
According to the power pig price monitoring, on February 10, the national pig price fell sharply, of which the five major provinces of "Jilin, Heilongjiang, Gansu, Xinjiang and Yunnan" fell into the 5 yuan range!
Pig prices have continued to be sluggish since the Spring Festival, most of the situation is a downward trend, even if there is an occasional rise is very limited; now, the pig price in five provinces has fallen into the 5 yuan range, and the reserve price of seven major provinces is close to the 5 yuan range! This is a very dangerous signal, after the beginning of the year pork consumption enthusiasm is not high, coupled with the continuous overflow of production capacity, the future pig price trend is very "dangerous"!
In this case, the life of the pig company is quite difficult. For example, Zhengbang just started to usher in a "drop stop", and was once again thrown on the cusp of the storm! Some people analyze this and Zhengbang disclosed the "nearly 20 billion losses", but this is probably only one of the reasons, personal speculation that "capital is not optimistic about the follow-up pig market" is also one of the important reasons!
The pig cycle is here, and no one can escape it!
And Tao Yishan, the God of Tang Dynasty, seems to have foreseen that 2022 will still be full of dangers, and has made a "very abnormal" big move!
Tang Dynasty God Fierce
The Tang Dynasty god introduced a new system, which can be described by the word "fierce heart"!
It is reported that Tang Renshen has launched an incentive assessment mechanism of "no increase in income, please leave", put forward the three major income source schemes of salary package, efficiency sharing award and profit sharing award for employees in the feed and meat industry, and put forward three major income source schemes of salary package, efficiency sharing award and cost sharing award for employees in the aquaculture business sector.
"Don't increase income, please leave" 6 words are very straightforward, but also cruel! At the beginning of the new year, most employees have not yet recovered from the "holiday syndrome" and will face the "threat of unemployment"!
This can't help but remind people of 2021, Tianbang, which is also deeply in the loss, laid off more than 1,500 employees, and even had a 50% salary cut for some pig farms that could not meet the standards of "production performance and cost reduction achievements"!
Coincidentally, Zhengbang has a similar situation in 2021.
According to the "Daily Economic News", an application for a voluntary salary reduction written by an employee of Zhengbang Technology was circulated on the Internet, and the employee applied for a voluntary reduction of 10% of the original salary standard from July 1, 2021.
At that time, the Daily Economic News reporter learned from the mouths of Zhengbang employees that the company did begin to reduce salaries by 10% internally, and carried out large-scale personnel optimization in the entire group, with a scale of more than 10,000 people...
It can be seen that in order to survive, any company in order to survive, to make "layoffs, salary reduction" is simply inevitable, especially for today's pig companies "high cost" is simply fatal! Tang Renshen has lost nearly 1 billion yuan in 2021, and seeing that the market in 2022 is still not optimistic, how can the management not be in a hurry?
Tao Yishan
But Tao Yishan is "Tao Yishan" after all, compared to Tianbang and Zhengbang, the "spicy means" of the Tang gods are still full of positive incentives! Because before they issued the assessment mechanism of "no increase in income, please leave", they have taken the lead in implementing equity incentives with 60 million shares (accounting for 4.98% of the total share capital) and raising salaries of front-line employees by 10%!
Salute first, soldiers, good means!
Unlike other pig companies that blindly impose "negative incentives" on employees, it is not like they will only say that "under the new incentive system, employee income may increase", the probability of this "possibility" is extremely small, in fact, it is mainly used to block the mouth of others!
But Tang Renshen is different, they have taken out real money and silver to employees, and the intention conveyed to employees is very clear - what the company can give you, desperately will give you; but the crisis is current, the company depends on you to survive!
In this case, what reason is there for employees not to work hard? It can be seen from this that Tao Yishan is so "absolute"!
Perhaps, Tao Yishan just foresaw: a loss of 1 billion yuan in 2021 is likely to be just the beginning, and 2022 faces a bigger test! Because at the beginning of the new year, it is threatened by the 5 yuan pig price, and as the pig production capacity further impacts the market, the pig price will be lower in the future!
Therefore, The decision of Tang Renshen is to fully enhance "internal cohesion, combat effectiveness, and productivity" and eventually form external competitiveness - no need to beat the pig cycle, as long as it is better than its peers!
There is a saying that goes, you don't have to run faster than a wolf, you just run faster than your "companion"!
So the question is – in your opinion, who will be the first pig company to be eaten by a "wolf"?