Shulou(Shulou.com)11/24 Report--

Thanks to CTOnews.com netizens West window past, that cloud is very beautiful, Mr. Air, Peace Baby, soft media new friend 1933769, kinja clue delivery! CTOnews.com, April 24 news, due to operational difficulties, the world's third largest notebook computer contract manufacturer Wituang announced on the evening of April 20, its Taizhou plant in Chinese mainland will stop production on April 26 due to successive annual losses, and plans to terminate labor contracts with all employees on May 26, and pay economic compensation in accordance with the regulations.

Weichuangzitong Co., Ltd. said in the announcement that due to the changes in the overall economic and trade situation and customer demand, the company has been gradually adjusting the global production capacity layout in recent years, and the Taizhou factory has lost money year after year because it has not reached the scale of the economy. so it was approved by the board of directors of Taizhou factory to close its business.

According to the time Finance report, an on-the-spot visit to the Wituang Taizhou factory on the afternoon of April 23 found that the factory has shown the scene of "people going to the factory empty". There was almost no one inside and outside the factory, only a security guard was on guard at the main gate. Otherwise busy staff dormitories and business neighborhoods have also become deserted. The owner of the restaurant said that their business depended on Wituang's employees, and now that everyone is gone, business is cold.

It is understood that Weichuang Taizhou factory mainly produces small and medium-sized liquid crystal display modules, which is the LCD module contractor of iPhone LCD panel supplier JDI (Japan Display Inc). But in recent years, Apple has gradually switched to using OLED screens, leading to fewer orders and higher losses at the Weitron Taizhou plant. Financial data show that at the end of the fourth quarter of 2022, the book value of the investment at the Willon Taizhou plant was a loss of 5.555 billion New Taiwan dollars (CTOnews.com note: current about 1.25 billion yuan).

Wituang said it is optimizing the global capacity layout and will transfer the business of the Taizhou plant to places such as Kunshan. As for the placement of employees, Wituang said it will try its best to deal with it and provide financial compensation. However, according to employees, since most of the employees are Taizhou locals, they are more likely to leave rather than follow the company.

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