On March 29th, it was reported that the Jinli Dongguan factory had begun to dismiss its employees and requested to complete the negotiation and termination of the labor contract by the end of April this year.
In response, Jin Li responded to the Beijing Commercial Daily reporter that the personnel adjustment at the Dongguan factory had been communicated with the Dongguan Labor Bureau and communicated with the employees. The labor contract was negotiated and the economic compensation standard was strictly followed by the labor contract law.
According to the contract disclosed by the Vessel Platform, Jinli’s factory in Dongguan has already started to dismiss its employees. Except for special circumstances, such as female employees who were pregnant, during the period of maternity and breast-feeding, and injured during work, workers who have suffered occupational-disease hazards have not yet arrived. Pre-employment occupational health check-ups shall not be included in the scope of the consultation and dissolution of labor contracts. Others shall complete consultations and terminate the labor contracts before the end of April this year. For those employees who are unwilling to accept the dismissal of labor contracts, they shall be subject to the company's suspension of work and rest policy.
At the end of last year, Jin Li was caught in rumors of suppliers’ arrears and tight funding chain. In January of this year, Jin Li’s Chairman Liu Lirong responded to the matter in an interview. For the capital chain issue, Liu Lirong stated that Jin Li will be resolved in three steps. First, introduce partners to ensure production and sales; secondly, introduce strategic investors and replenish funds; and third, sell assets to repay debts and obtain creditor support.
A few days ago, there was news that Jinli will reorganize in the near future because the company has already obtained a financing. The funds will be invested in the formation of a new company. The funds are likely to exceed 100 million yuan. For this news, Jinli Tell Beijing Business Daily reporter that Jin Li is indeed negotiating financing, and there will also be strategic funding.