Things are all okay now at Honda Auto Parts Manufacturing Co in China as Honda Motor Co. have managed to convince most of its Chinese workforce to continue working with a pay increase of about 24 percent along with benefits.
This is still slightly lower than the 53% increase to 2,300 yuan a month that the worker reps were trying to secure, according to two strike leaders who by the way were fired by Honda after the walkout began on May 17th.
According to Honda, there were still “several dozen’ employees who haven’t accepted the company’s offer and are trying to “disrupt work at the factory”. Nonetheless, most of its 1,990 workers at the Honda Auto Parts Manufacturing Co. plants will be returning to work allowing the company to partially restart production of transmissions and engine gears.
This will also allow Honda to start operations at all four of the Chinese joint venture final-assembly plants as it was previously shut down due to lack of key components. It looks like Honda have to rethink its calculations about labour practices in China, which previously was an attractive place to produce cars due to cheap costs.
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China also want to be high income nation….like others.
2300 YUAN is about RM1100
How much P1 worker get for the same position? any info?
2300 YUAN is for 53% increased lol..
Car production is a typical technology intensive industry, so the 24% pay raise is still by any means negligibel for the cost and cannot impede Honda’s expansion in China to be sure.
it wont be long before labour wages in china increase too high which meant business investments are no more feasible or viable.
luckily china alone has a huge domestic market but their local consumers will suffer as product prices will be hig. China may become a victim to its own success.
too bad this thing happened to Honda in PRC. but once they succeeded, they will ask for more. and more.
and more.
Well, I guess honda pays better in wages compared to their other home grown automobile manufacturer…..
If they staff still not happy, they can come work with proton…..hehehehehe. Very easy work, no need to be too precise, no need to ensure quality of car during assembly…..
At the end, just paste “Lulus” sticker on every new proton car….That was what my fren saying when he was working with proton…
That is “was” you are saying… what is the “is”?
mati katak..please shut up if you never worked in this industry. do you know how hard we are controlling every single thing in our production system starting from vendor side until pdi.. then handle the car to customer.
With all the protection given for 25 years things are still difficult? why not let others handle the problems, shareholders can then sit back and enjoy the dividends and malaysian can enjoy cheaper but better quality automobile.
That’s right let foreign manufacturer handle the management, problem solved.
this is the type of the weak mind….
if we cant do it… why think since others will solve it…
very not innovative… has no Kaizen spirit at all…
and, clearly you never work in manufacturing plant.. even with 100years of experience there will be difficulties you’ll faced everyday…. diff day, diff story…
i think it’s time for malaysian rulers to use their brains and think on the needs to attract honda to malaysia to assemble their cars here…it’s even better that honda has a plant in malacca…china is not anymore a good country to reduce cost..china is trying hard to develop their country in a ultimate short period without ever taking consideration on the quality and workmanship of the products..this development will only stand for short period,,as quality is the major issues nowdays..all the quality problems caused is due to things made from china used extensively,,,,think…………….
those honda jv is specific to mainland china market… i dont see china will import honda cars from malaysia or elsewhere
Ip Man sudah kasi warning, haha! Straight away agree naik 24%. hehe..
Ip Man’s grandad was there first….. haha.
But if u really want to know.. heck, its probably peoples’ power that did it.
Good. I am all for people getting more money from big corporations. I know most likely Honda will just pass on these costs to consumers however with the Koreans coming up with more desirable cars now hopefully Honda will keep prices at reasonable levels. Let the CEO ikat perut for a change.
we want a pay rise too, thank u :-)