China Mobile quashes layoff rumours

26 Aug 2014

China Mobile has denied rumours regarding downsizing in provincial subsidiaries in Shandong, Fujian and Shanxi, Marbridge Daily writes. The company moved to rebut the accusation after the 21st Century Business Herald reported that it had obtained documents showing that the cellco planned to sack 300,000 dispatch workers within two years and had already laid off 6,000 staff across 17 cities in Shandong. Dispatch workers are labourers hired through a third-party agency, and reportedly make up around 62% of China Mobile’s workforce. Provisional regulations passed by China’s Ministry of Human Resources and Social Security (MOHRSS), have set an upper limit of 10% on the proportion of a company’s staff that can be dispatch workers. Firms exceeding this amount are to gradually lower the number to below 10% by February 2016.

China, China Mobile