Author 丨 Dawei
Recently, an anonymous netizen provided a screenshot of the circle of pulse colleagues: Xiaomi "began to lay off employees, 10% of the whole company".
Why layoffs? Who will be laid off? How is the compensation scheme determined? This is the most intensively discussed issue on social platforms about Xiaomi's layoffs.
For layoffs, Xiaomi responded today: Xiaomi has not yet laid off employees in its entrepreneurship, and at present, Xiaomi has more than 4,000 popular positions that are still recruiting talents, and Xiaomi welcomes the addition of outstanding talents.
Has Xiaomi laid off employees in the end? "It's not a malicious layoff, it's not as scary as the outside world thinks." Cui Hao (pseudonym), a Xiaomi employee, told the whippers, but Xiaomi did require a group of incumbent employees to "carry C" and were about to be laid off or had already been laid off.
Xiaomi employees and headhunters also revealed more details of xiaomi's layoffs.
We learned last December that we were going to lay off workers
As early as last December, Cui Hao learned of the company's layoffs.
Heads of departments are mandated to assign 10 per cent of the C-indicator of achievement. Xiaomi's appraisal performance to employees is divided into three levels: A, B and C. Getting a C means being interviewed by HR and potentially being laid off.
"Xiaomi has always had a tradition of 'elimination at the end', but in the past it was the departing employees who withpped the quota at the end of the elimination, but this wave is officially documented." Cui Hao said. At that time, he felt that the company was going to lay off employees. "The first of the next year was this wave of layoffs [performance appraisal C people]."
(Last December, someone broke the news that their performance was C)
For the "Xiaomi layoffs of 20%" that is popular on the Internet, Cui Hao said that 20% is not accurate, it is 10%. "I've consulted a lot of HR, and a lot of people say it's performance optimization, and each department is optimized at 10%." Cui Hao said.
Which departments will be laid off?
Cui Hao introduced that some old departments or redundant departments in the direction of the Internet, such as the information technology department, have been laid off more, while some departments with good efficiency, small number of people or newly established departments have fewer layoffs, or even no layoffs, that is, there is no C indicator.
Who will be laid off?
Cui Hao revealed that there are two different ways to say that the layoff standards this time are to lay off the grassroots level, for example, he heard that there are 5 people in a department, there are 4 leaders, and the only one who works is laid off.
Another version is specifically aimed at the middle level who do not have strong ability and qualifications, "We have two middle-level leaders in the department next door who left at the end of last year, and I don't know if they were laid off."
A headhunter told the whip that in the past two weeks, the resumes of candidates marked as Xiaomi employees have been updated more than 1,000 times on a recruitment platform. "The last week is 1049 people, and the last two weeks are 1190 people, indicating that the new addition in the past week is quite large."
On websites such as Pulse and Zhihu, the evaluation of Xiaomi's management is biased towards negative.
"The old rice people will 'lie', plus those who can do PPT, there are hills left, just cut off the people who work."
"None of the Chinese areas can fight, and the capable ones run early." A bunch of middle-level people can't find the reason for solving the problem. Rotten early. ”
"According to the custom of my rice bullying honest people, 80% of the cuts are the ones who can work without a sound, and the bastards and old fritters can protect themselves with their whole body."
These comments are at the forefront of the number of likes, and it may be seen that the phenomenon of ranking by seniority and mixing days is a major evil disease of Xiaomi.
Cui Hao introduced that many Xiaomi employees learned that there was no hope of promotion, so they opened the lying flat mode and developed a side business. "The guy I knew, from level 16 to level 17, lay flat because his previous leader was gone and no one spoke to him." Cui Hao said.
Layoffs, not so bad
"Saying that it is a layoff, in fact, it is all given."
Cui Hao introduced that although the spread of Xiaomi's layoffs was boiling, the employees who were laid off received corresponding compensation. The wave of layoffs will continue until March.
Xiaomi set the performance years ago, gave the laid-off employees time to prepare for the job, issued a year-end bonus on the day before the New Year, and began to interview years later, but all gave "N+1" compensation.
Cui Hao said that for employees who stay for 4 years, Xiaomi will also lose stocks, but there is "no clear plan." On the pulse, some people broke the news that the shares of the laid-off employees could be repurchased.
At the end of last year, Xiaomi also experienced a wave of layoffs, involving xiaomi youpin. "Because of the overlapping businesses, at the end of last year, Xiaomi youpin was cut and passed." Cui Hao said.
On November 16 last year, according to Tech Planet, Xiaomi announced on November 12 that Xiaomi Youpin was merged into Xiaomi's retail business in China, and the two will no longer settle independently and implement different operating policies in the future, and will jointly serve the group's new retail goals.
On January 17 this year, Xiaomi Youpin's new domestic membership e-commerce platform Youpin Youyu announced that it would terminate its operation on March 17. The announcement said that from 10:00 on March 17, Youpinyouyu will stop the withdrawal service and shut down the server, and it will be impossible to access the Youpinyouyu App and Mini Program at that time and in the future.
Although it has not made drastic layoffs like other Internet companies, Xiaomi employees still feel the danger.
Why did Xiaomi lay off employees? Cui Hao also agrees with the gossip in his own view, one is that Lei Jun recently announced that he will impact the high-end and benchmark Apple, and the other is that Xiaomi will build cars and use excess funds.
Following the announcement of car manufacturing last year, on February 8 this year, Lei Jun announced Xiaomi's high-end strategy.
Is the layoff to pave the way for high-end and car-making?
On February 8, Xiaomi Group's stock price continued to decline, falling more than 3% intraday to HK$15.76 per share, the lowest in 52 weeks, and the total market value fell below HK$400 billion.
As of press time, Xiaomi's stock price was quoted at HK$16.30 per share, with a total market value of HK$407.534 billion.
Xiaomi's slump in the second half of last year was the main reason for the sharp decline in its stock price. Despite the return of the MIX 4 series, Xiaomi sales in September fell 12.3% month-on-month, and in terms of overall data for the third quarter, Xiaomi fell 10.2% month-on-month with about 11 million mobile phones.
According to the retail volume data of China's mobile phone market in December 2021, which is counted by the "Governor of AnhuDu", Xiaomi ranked 12.5% after Apple, OPPO, VIVO and Glory, down 17.7% year-on-year.
"Cost-effective" was once the secret of Xiaomi's rise, and now it has transformed into a high-end and announced the manufacture of cars. Both are businesses that cost money.
"The high-end road cannot be achieved overnight, we must firmly believe that Qingshan will not relax, maintain long-term strategic determination and continuous investment, and resolutely implement the '5-year 100 billion' research and development plan." Lei Jun said.
Xiaomi's high-end road has been 2 years so far, according to the average annual research and development cost of 20 billion, Xiaomi will spend 60 billion yuan next. In March last year, when Lei Jun announced the construction of the car, he announced that Xiaomi's cash balance at the end of 2020 was 108 billion.
"Car building is Xiaomi's business." Cui Hao said that some people in Xiaomi's headquarters went to build cars. He said that Xiaomi car manufacturing adopts a horse racing mechanism, such as the functions and parts on the car, there are two sets of solution directions, one is to divert Xiaomi's existing technology, and the other is to re-develop independently to see who is more effective in the end.
Since announcing the construction of cars last year, Xiaomi has begun to recruit talents in the field of vehicles and autonomous driving. At the end of July last year, Xiaomi released 120 jobs in two days, mainly in the field of complete vehicles.
According to the salary package announced by Xiaomi, the monthly salary of its recruitment position is between 20 and 60k, and the salary is 14. The treatment is much higher than that of a group of new car-making forces.
In the case of declining stock prices and sales, Xiaomi on the one hand to reduce redundancy, layoffs, on the one hand, high salary recruitment, perhaps as Lei Jun Weibo said, the next will be the life and death battle of Xiaomi's development.
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