Jiyue Auto Employees Protest Over Unpaid Wages, CEO Promises Resolution
Jiyue auto Employees Stage Protest, Demand Pay as Company faces closure
Chengdu, China – Chaos erupted at Jiyue Automobile headquarters as employees surrounded CEO Jia Yiping, demanding answers and unpaid wages amidst rumors of the company’s imminent closure. The dramatic scene unfolded on December 12th, following a wave of store closures and reports of mass layoffs across the country.
Jiyue, a joint venture between tech giant Baidu and Geely Automobile, launched with high hopes in the burgeoning electric vehicle market. Though, the company appears to be facing severe financial difficulties, leaving employees in a state of uncertainty and anger.
“We received a notice on December 11th telling us not to come to work the next day,” said a salesman at a Chengdu Jiyue store, who wished to remain anonymous. “They said our salaries wouldn’t be paid. I’m currently looking for a new job.”
Many employees confirmed that while November salaries were paid, social security contributions were not. Faced with the prospect of working without benefits, most employees opted to leave under the terms of N+1 compensation, but the future of these payments remains unclear.
Adding to the turmoil, Jiyue stores across the country have been shuttered, with salespeople refusing to leave until they receive their due compensation.
“Jiyue will retain only about 100 vehicle owner operation and maintenance staff,” revealed Zhao Feng, an employee at a retail market, citing an internal notice. ”All other business lines, including complete vehicles, will be dismissed before December 16th.”
The crisis came to a head on December 11th when Jia Yiping addressed employees in an online meeting, acknowledging operational difficulties and the need for adjustments. However, he offered no concrete details.
Subsequently, the human resources department presented employees with two options: voluntary resignation before December 16th with a promise of N+1 compensation by February 15th, or remaining employed without salary and social security contributions.
Adding to the confusion, an internal letter from jia Yiping surfaced online, outlining Jiyue’s transition into a “2.0 era” of entrepreneurship focused on cost reduction and efficiency enhancement.However, employees remain skeptical, with many believing the company is on the brink of collapse.
“Jiyue didn’t start the 2.0 era as Xia Yiping said,” stated an employee at a Jiyue store, speaking to the new media outlet “Cheyitiao.” “rather, we’re facing complete closure. Not only are China and Taiwan on holiday, but shops are closing, and employees are forced to choose between quitting or going unpaid.”
As the situation unfolds, the fate of Jiyue Automobile and its employees hangs in the balance. The company’s sudden downturn serves as a stark reminder of the volatility of the electric vehicle market and the challenges faced by startups navigating this competitive landscape.
Jiyue CEO Seeks Resolution to Employee Social security Concerns amidst Growing EV Competition
Jiyue CEO Jia Yiping is facing mounting pressure to address employee social security concerns as the electric vehicle (EV) market in China intensifies.
In a recent statement, Yiping revealed that a board meeting held the night before a planned solution release on December 11th failed to reach a consensus on employee social security and other issues. He emphasized that any plan requires board approval and that he, as CEO and a minority shareholder, needs the support of 80% of the directors to move forward.
“I proposed using a portion of the funds to resolve the social security issue for our workers, but none of the shareholders came forward,” Yiping stated.
He further disclosed that Baidu, which holds the company’s voting rights, recently conducted a extensive audit and found no irregularities.
Despite the impasse, Yiping expressed optimism about finding a solution. He indicated that shareholders are willing to compensate employees for resignations,but the specifics need to be discussed with both shareholders and the human resources department.”I will do my best to address the social security concerns of our workers,” Yiping assured, “but the details of how to proceed need to be discussed specifically with the board of directors.”
Jiyue, formerly known as Jidu Automobile, is a joint venture between Baidu and Geely. The company launched its frist car, the Jiyue 01, a pure electric SUV, in September 2024, followed by the Jiyue 07, a pure electric sedan, with a limited-time price range of 199,900 to 289,900 yuan.
While Jiyue has delivered over 14,000 vehicles in the first 11 months of this year, the company faces stiff competition in China’s rapidly evolving EV market.
NIO founder and CEO Li Bin recently warned that the smart electric car industry is entering its most competitive phase, with only a handful of companies likely to survive.
Jiyue’s ability to navigate these challenges and resolve its internal issues will be crucial to its long-term success in the fiercely competitive Chinese EV market.
Jiyue Auto: A Fallen Star? Ex-Employees speak Out Amidst Claims of missed Wages and Impending Closure
Chengdu, China – NewsDirectory3.com recently spoke with Zhang Wei, a former Jiyue Automobile salesman, to gain insight into the mounting crisis engulfing the once-promising electric vehicle manufacturer. The company, a joint venture between baidu and Geely Automobile, has been plagued by rumors of closure for weeks, culminating in a highly publicized protest at its Chengdu headquarters on December 12th.
“The atmosphere was tense,” Zhang recounted. “employees were angry and confused.We had all received notices stating that we were to expect no further work and were uncertain about receiving our owed salaries.”
Zhang, who worked at a Jiyue store in Chengdu, confirmed that while November salaries had been paid, crucial social security contributions were missing. This sparked widespread discontent among employees who saw their futures perched precariously.
“We were given the option of leaving under a N+1 compensation scheme,” Zhang explained, referring to a legal provision in China that mandates a severance package based on length of service. “But with the company seemingly on the verge of collapse, even that safety net feels uncertain.”
The abrupt closure of Jiyue stores across the country has further exacerbated the situation. While some locations have seen employees continue to work, demanding clarification on their future, others have been deserted as staff abandon ship.
“There was a sense of betrayal,” Zhang confided. “We were instructed to believe in this project, in Jiyue’s vision for the future. Now, we’re left wondering if it was all a mirage.”
When questioned about Baidu and Geely’s response to the situation, Zhang admitted to feeling disillusioned.
“There has been a worrying lack of openness. We haven’t received any concrete facts about the company’s finances or their plans moving forward. It’s left us feeling abandoned.”
The future remains bleak for Jiyue employees.As they grapple with the potential loss of livelihood and benefits, their stories serve as a cautionary tale within China’s burgeoning electric vehicle market.
NewsDirectory3.com will continue to monitor this developing story and provide updates as they become available.