“There was a lack of sufficient and effective communication, resulting in an adverse impact,” said the Changzhou Municipal Human Resources and Social Security Bureau.
MANAGERS PUNISHED, GRADUATES COMPENSATED
Xingyu issued an initial apology on Aug 27 before releasing a more detailed statement on Monday (Sep 7), acknowledging lapses and announcing disciplinary action against four managers.
The company said management had erred in its assessment and acted “hastily” without fully considering that the graduates had only recently joined the company.
Using similar language as the authorities, the firm said some staff members had been “simplistic and blunt” in talks with the graduates, causing “physical and mental harm”.
“For this, we are deeply remorseful and deeply reflective,” Xingyu said, adding that it bears full responsibility for the criticism and public opinion directed at the company.
The fallout has reached the company’s upper ranks.
General manager Zhou Xiaoping will lose a year’s salary, while deputy general manager Li Shujun will lose six months’ salary and have his duties adjusted, Xingyu said.
Human resources director Yu Zhiming, who had previously been suspended, was dismissed, while human resources department head Li Mei was demoted and reassigned.
Xingyu has also offered financial and employment support to the affected graduates.
Each has received a lump sum of 15,000 yuan (US$2,235) to ease living costs while they look for new jobs, and those who have not found employment within three months will be given six months’ wages as compensation, the company said.
Xingyu has also reimbursed the transport costs for students who travelled to Changzhou for recruitment and provided free accommodation for those staying in company dormitories.
