Financial Crisis, "Severe Winter", Nearly 200 Shoe Companies In Huidong Are Closed.

In Huidong, the most developed shoe industry in Jilong, a small town with a population of 30 thousand, more than 4000 registered in the trade and Industry Bureau at the peak of two years ago, and some 6000 were not registered.

But since the beginning of this year, nearly 200 shoe companies have been closed down in the most developed shoe industry in Huidong, and nearly 100 shoe factory owners have fled.

"How to spend this winter" has become the most concern of Huidong footwear industry.

- -- Mo's driver Wu Hong

The first rain since the beginning of winter has made the dust of Huidong's Jilong yellow port much less.

The shoe materials on the street are still standing, and trucks and motorcycles are crossing them. Shopkeepers do not see the smiles on their faces.

"The biggest news here today is the opening of yongxun garden."

Knowing that someone was visiting, Wu Hong, a driver from Mo in Henan, was positive.

On this day, dozens of people gathered around the new town of Jilong Town, and more than 100 workers gathered around the gate to ask for wages, and more than 10 police stations kept order, but they failed to attract many people to watch.

Wu Hong said with a big mouth that everyone knew that the house was not good enough to sell, and that the house of Jilong was even more unbought. In those days, he wanted to sell his house in Jilong. Now the opening was very fresh. In the past two years, I heard the news of the shoe factory owner running around and saw the workers asking for wages.

-- Gu Jiahao, the boss of Jia Hao shoe factory

Factory sluice gate closed, leaving a small exit, more than 10 security officers in the door to maintain order.

On the first floor, the gate was locked. Many workers were guarding the room, looking out of the window, and the shoes mold and papers scattered all over the place.

He recalled that he saw the last side of Gu Jia Hao in November 3rd.

On the same day, He Cairong was going to go out by motorcycle. He found that 3 motorcycles were gone. They were all rode away by his relatives. One of them was allocated to him by the shoe factory.

In the evening, another shareholder of the shoe factory was going to sneak away some of the shoe factories and was discovered by the workers.

He Cairong felt wrong and telephoned Gu Jiahao, the boss. "I am not coming back," said Gu Jia Hao on the phone. "You are responsible for assisting the local government in dealing with the related matters after the shoe factory closures."

"In fact, the signs of the shoe industry crisis in Huidong appeared 2 years ago, but the financial crisis has exacerbated the crisis, which has exposed the contradictions in the development of footwear industry for a long time. This is not the root cause of this crisis."

Luo Weiming, director of the Economic Office of Jilong Town, Huidong County, has been dealing with shoe manufacturers for a long time. Over the past 10 years, he has been paying close attention to the development of footwear industry in Huidong.

In his view, the financial tsunami is only the last straw of some small and medium-sized enterprises, and this is precisely the best opportunity for Huidong shoe industry to carry out structural adjustment.

Most of these foreign investors are exporting. With the depreciation of the US dollar, the RMB exchange rate is increased, the export cost is increased, and the profit margins of export enterprises are compressed.

"2 years is a novice, 3 years is a good hand, 5 years can be a boss."

Because the technology content of shoe industry is not too high, to a certain extent, many skilled workers are unwilling to continue to work.

More factory shoe factories have not been registered in the industrial and commercial tax department. So, "how many shoe factories do we have?"

With the increasing number of shoe factories, small workshops have joined the competition. Customers do not have to pay first, and 30 days or even 90 days after they arrive.

That is to say, the shoe factory should first pay 3 months' wages, advance all the materials of the goods, and wait for the seller to recover the money after selling the goods. Once a link is out of order, the shoe factory will not be able to return to the sky after the capital chain breaks. Most shoe factories have to wait for death.

Mainly reflected in the increase of labor costs, the data provided by hundred shoe industry show that only manpower costs increase 7%. after the implementation of the new labor law, and more importantly, the bargaining power of workers gradually increases, leaving shoe factory owners helpless.

After the implementation of the new labor law, workers know their own interests and can negotiate with their bosses to increase wages.

Luo Weiming said, for business owners, according to the "fixed time, fixed price, fixed quality" to complete the task is to follow the guidelines, and to achieve "three fixed", many times rely on overtime to achieve.

10 years ago, the workers did not complain about overtime work. Now the workers are mostly single children after 90 years. Their values are different.

It is understood that so far this year, nearly 200 shoe enterprises in Jilong town have closed their own businesses, and about 100 shoe factory owners are running away, most of which are smaller shoe factories.

According to the relevant departments, the shoe factory of the Yankee is generally the owner of the province, which directly leads to the workers' pay to the town government.

Because the shoe industry is not unified in the park, the employment of enterprises is not standardized, the commuting time is not uniform, and the mobility of workers is large.

On the one hand, many small workshops have no licences and the government can hardly control them. On the other hand, there is a tacit agreement between the shoe factories and the workers, and no labor contracts are signed. The workers only find the government after problems arise, which makes it difficult for the government to supervise.

As early as 2 years ago, government departments devoted to the development of footwear industry. At the beginning of this year, the implementation of 100 shoe making enterprises was specially introduced.

In the future, the "bail out" action will be carried out step by step.

Chen Shaobo, deputy director of Huidong SME Bureau, said that the government allocated two 5 million, of which 5 million were invested by the government as a risk factor for Guarantee Corporation to support the financing guarantee of shoe enterprises. The other 5 million was allocated 5 million by the government each year to support 100 key shoe companies for technological innovation.

A total of about 5000000 funds were invested in brand promotion, and the government invested 3 million 380 thousand supporting and subsidized footwear enterprises to participate in the exhibition, and the enterprise invested 1 million 950 thousand.

Chen Shaobo, deputy director of Huidong SME Bureau, said, "we are flexible and do not let foreigners lead our noses!"

The government should encourage enterprises to go out. "Enterprises should go out in the most difficult times. Difficulties are difficult, but confidence is still enough."

According to statistics, the shoe culture festival has received more than 40 thousand people from all over the world, including more than 30 thousand foreign businessmen from the United States, the European Union, Southeast Asia and other countries and regions, and 471 contracted projects. The contract orders 16 million 692 thousand pairs of shoes and the total amount is 344 million 730 thousand yuan.

Among them, there are 53 orders contracts, 692 thousand pairs of shoes ordered, 14 million 730 thousand yuan in turnover, 418 in intention contracts, 16 million pairs of shoes ordered, 333 million yuan in value.

Chen Shaobo said, "let foreigners have such a concept of" Huidong ".

The eastern Guangdong (International) shoe material market is now attracting investment. It aims to build the largest "one-stop" shoe material market in Southern China. The market is expected to be put into use in April next year, which will reduce the cost of shoe material circulation.

In addition, in order to improve the footwear industry chain, Huidong plans to build 4000 acres of "Chinese women's shoes production base" demonstration park near the county seat, not only to solve the problem of difficult land use, but also to give full play to the cluster effect of the park so as to enhance the status and popularity of Huidong footwear industry at home and abroad.

Chen Yu, chairman of the Huidong footwear industry association, said that the chamber itself also organized research to understand that orders for shoe enterprises were reduced by 30%, and some enterprises that had business dealings with Europe and the United States were more serious, while those with business contacts with Southeast Asia and Africa were slightly damaged.

At present, the government has initiated relevant policies to help enterprises tide over difficulties, and this policy can continue to intensify.