HR Vendors of the Year Awards is back again for its 5th year with a fascinating gala night to celebrate the best HR vendors in Hong Kong. Winning is both an affirmation of the exceptional quality of your work in the industry and among peers. Enter Awards now
Contact us now for more details.
High-end menswear retailer Trinity, part of The Fung Group, announced it will shut down its final garment production line in Hong Kong. The 182 staff members who are working at the production line will be make redundant.
In a statement seen by Human Resources Magazine, Trinity confirmed it will close the last remaining production line at its Hong Kong garment factory this week. The company explained that the move is part of the ongoing optimization of its supply chain operations, in light of the challenging economic and retail environment in Greater China. It also stressed that all other parts of Trinity’s operations continue as normal.
On compensation package for staff who lost their jobs, Trinity said it has provided affected staff with a package that exceeds the standard compensation required by government regulations.
Losing one’s job right before Lunar New Year is something that all Chinese working class find tough to swallow. On Trinity’s “cruel” decision to cut staff so close to the big festival, vice president of the Honk Kong Confederation of Trade Unions, Cheung Lai Ha said it is not the first time the company had done something like that. She believed the motive behind such action is to save money on holiday compensation.
“Workers at Trinity usually get 7 days off during Lunar New Year. By letting them go before Lunar New Year the company is able to save money on holiday compensation,” she told HK01.
With most of the staff at Trinity making more than HK$20,000, it is estimated that the company is able to save up to HK$1 million in holiday compensation.
Cheung added that the decision to close the final production line in Hong Kong is not a surprise because the company has well- developed production lines in China, where salary is lower than Hong Kong.
ALSO READ: Lane Crawford confirms Hong Kong job cuts