Xingyu Raises Outsourced Workers' Hourly Wage by ¥1, Retention Bonus to ¥3/Hour

On September 2, Xingyu Co., Ltd. adjusted the hourly wage standards for its outsourced temporary workers. Effective September 1, the company raised the hourly retention bonus from RMB 2 to RMB 3 per hour. Under the new structure, outsourced employees still employed on payday will receive an hourly rate of RMB 23, comprising a base wage of RMB 20 plus a RMB 3 retention bonus. Those who have already left by payday will be paid at the base rate of RMB 20 per hour. In addition, outsourced workers are eligible for a night-shift allowance of RMB 20 per shift and a monthly attendance bonus of RMB 300. Based on an estimated monthly workload of approximately 300 hours, their take-home monthly earnings amount to roughly RMB 8,500. According to recruitment agencies, this wage increase was prompted by recent difficulties in hiring, which stemmed from public backlash over the company’s controversial decision to effectively force recent graduates to choose between resignation or reassignment to assembly-line roles. The Changzhou Municipal Human Resources and Social Security Bureau criticized the company’s communication approach as overly blunt and simplistic. As a result, the involved HR director has been suspended, and the company has issued a public apology along with a compensation plan. Volkswagen Group stated it has received related complaints and has launched a dedicated investigation.