Recently, Canon has been mired in the whirlpool of public opinion because Canon will close the factory that has been operating in Zhuhai for more than 30 years, and in accordance with the law, if the factory is dissolved, it must compensate the old employees, so Canon has launched compensation measures for employees.
In order to thank the employees for their efforts, Canon offered "sky-high compensation", and many employees received more than one million compensation. But Canon's generosity has caused an uproar on the Internet, and many people on the Internet have attacked Canon, calling Canon "sinister".
The traditional camera industry has been impacted, and Canon has no choice but to withdraw its factory
In fact, Canon's decision to withdraw the factory is also helpless, mainly because the traditional camera industry has been greatly impacted. Due to the continuous improvement of mobile phone camera technology, the camera function of most mobile phones can now meet the requirements of the vast majority of people for video.
Therefore, the demand for traditional cameras is no longer high, and now the audience of Canon cameras is generally limited to professional camera workers and camera enthusiasts, which makes Canon lose a lot of profits.
In recent years, Canon cameras have declined seriously in terms of sales and production, although Canon also has other businesses such as home appliances, mobile phones, printers, etc., but in these areas, Canon's advantages are not so prominent, so Canon has always been tepid in other businesses.
This has also led to Canon's revenue has been declining in recent years, which has also forced Canon to adjust its business, first of all, to open source and reduce expenditure, and to close factories with excess capacity is its first step.
Canon's "sky-high compensation" has caused controversy
In order to thank the employees for their contributions to Canon's past business development, Canon decided to send employees on the last journey, although the revenue performance of Canon's Chinese factory in the past two years has not been particularly optimistic in recent years, but still hopes to give employees some more material compensation.
Unlike other foreign companies, Canon has adopted its own unique compensation system, which not only eliminates the subsidy ceiling, but also adds many additional subsidy items.
This has allowed many old employees who have worked in Canon for many years to get a lot of salaries, often 300,000-400,000 can only reach the average, and the subsidies of more than one million employees are countless. This was originally a happy thing for everyone, but I didn't expect that it was because of these employee compensation that Canon suddenly became the target of public criticism.
Generally, before the dissolution of foreign enterprises, they will adopt the "N+1" compensation method in accordance with the law, which is to compensate employees according to the "employee's working time× the average salary of employees + the average salary of one month". However, relevant laws and regulations stipulate that in order to help enterprises save compensation costs, when calculating the length of service of employees, the general upper limit is 12 years, so that the company will not fall into too much pressure to compensate too much because of old employees.
But when Canon compensates employees, this upper limit is removed, which leads to as long as Canon employees work in the company long enough, then their compensation will be infinitely stacked, and eventually reach a terrible number. With this subsidy alone, many people's compensation payments can already reach hundreds of thousands of yuan.
However, in addition to this compensation, the family has several other compensation for employees, including special condolence payments, employment support funds, and Spring Festival condolence payments, and there is no corresponding upper limit when these compensation payments are calculated. All of the above will lead to canon's compensation to employees, the amount will continue to increase due to the employee's length of service, and eventually this value will far exceed other companies in the industry.
Canon's compensation moved whose "cake"
However, Canon's behavior not only did not usher in the emulation of other companies, but even was insulted and slandered by many companies, most of which were Japanese and Korean companies, who believed that Canon's high compensation was deliberately disrupting the market order and would cause vicious competition.
Once Canon sets this precedent, subsequent foreign companies may be required to pay higher compensation if they need to withdraw their factories, which may lead to other companies having to bear more labor costs. This is the result that many enterprises are unwilling to accept, after all, many foreign companies are currently withdrawing factories in accordance with the minimum compensation standards stipulated by the law, and even some people are unwilling to compensate employees.
In the second half of last year, it was exposed on the Internet that Ningbo Samsung Heavy Industry quietly withdrew the factory without the employees' knowledge and transferred assets little by little, and many people believed that Samsung Heavy Industries was to evade the high compensation given to employees. Canon's conscience act not only did not win the support and respect of foreign companies, but was ridiculed and denigrated, which is a lamentable thing.
summary
In the face of employees who have worked hard for the enterprise for several years, the enterprise should have at least respect, only by treating employees kindly, the enterprise can develop more smoothly and become bigger and stronger. Companies that are bent on squeezing and exploiting employees will only end up with the passive slacking of employees and the rejection and criticism of consumers.
After the closure of the factory, Canon provided sky-high compensation for employees, why did it attract a lot of scolding?
Canon's sky-high compensation to employees, in the end, whose "cake" was moved?