On March 11, Taiwan's major panel manufacturer, Zhonghua Yingguan (hereinafter referred to as "Hua Ying"), issued an announcement announcing that it will carry out large-scale layoffs in May this year, with the highest layoff ratio reaching 55.55%, involving about 2,500 production line employees and staff. At the same time, in terms of panel production lines, China Image Tube will also be cut. In the future, only the 6th generation line will be retained, focusing on the most economical production lines with small and medium-sized panels. The other two 4.5th generation lines will be sold in the future, and rental is not ruled out.
Huaying Financial Operation Management Headquarters Director Huang Shichang said that there is currently 1 6th generation line and 2 4.5th generation line, of which 1 4.5th generation line has been discontinued and is only for experimental line use. In the future, it is planned to sell all 2 4.5th generation lines, and only 1 6th generation line is retained. It is the most economical production line for the production of small and medium-sized panels.
Huang Shichang said that there are currently about 4,500 employees, and it is expected to lay off 2,000 to 2,500 employees, and the layoff ratio is about 44.44% to 55.55%. The number of layoffs is based on the manpower estimate of the sixth generation line operation. Just like the panel industry Caijing only has one 5.3 generation line, and the manpower is required to be more than 2,000.
At present, Huaying has submitted a large number of labor dismissal plans to the Labor Bureau of Taoyuan Municipal Government in Taiwan. It will be handled in accordance with labor-related laws and procedures, and will fully assist employees in the mediation of new work.
Due to the poor overall economic environment and financial difficulties, Huaying applied for reorganization to the Taoyuan District Court of Taiwan on December 13, 2018. According to the reorganization plan , it is necessary to streamline the business content, integrate part of the idle production capacity, and save various distribution, personnel expenses and operating costs in order to achieve reconstruction and regeneration.
Since the end of January this year, Huaying has been approved by the court for emergency punishment and has actively increased its production capacity. Although the supply of raw materials is safe, it still needs to be carried out step by step and gradually improve. The ultimate goal is to maintain stable mass production of a 6th generation line. As for the 4.5th generation line that has resumed small production, it will be suspended in the future.
Regardless of whether the court finally ruled to agree to reorganization or not, Huaying's financial situation faces difficulties and must lose weight. At present, it can only work towards reorganization. Therefore, the two 4.5 generation lines are planned to be sold, and if they are sold, they will not be ruled out for rent.
The new production capacity of panel factories in mainland China is constantly increasing, and panels have been oversupply. He believes that the oversupply of panel capacity in mainland China mainly comes from the high-generation panel production line. The products are mainly large-size TV panels. The main force of the 6th generation line is small and medium-sized panels, which has relatively little impact.
He bluntly stated that the 4th generation line and 3.5th generation line of Bade Factory were sold to Lingju Technology a few years ago, and the existing 2 4.5th generation lines still have the opportunity to find buyers.
Edit: Xin Zhixun -Linzi
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-