Chinese factory denies lay-offs

Further turmoil in China, where a manufacturer has denied reports that it has laid-off 6,000 people.
Publish date:
Social count:

Xu Guozhu, chief administrative officer for the Zhongshan plant of Hong Kong Sewco International Holdings Limited, said the payroll had 12,400 staff in September and 12,509 in August.

The company, based in Zhongshan, Guangdong Province, has 12,800 registered staff and produces toys for Mattel and Disney.

A report by National Business Daily on Tuesday claimed it had cut the workforce from 9,000 to about 3,000 due to a sharp fall in orders.

"The National Business Daily reporters did not come to the company at all, nor did they speak to us," said Xu. "I really do not know how this report came about."

He admitted the company had suffered temporary losses in the first half due to an increase in materials and labour costs, but business had been booming in the second half.

In September, the company exported toy products worth $11m, 20 per cent more than the same period last year.

Established in 1986, the company reported total exports of almost $100m, or one fifth of Zhongshan City's toy exports.

More than 7,000 workers lost their jobs after two factories closed in Dongguan City, Guangdong, on October 15th as the global economic slowdown took hold. The factories were part of the Smart Union Group.



Chinese to sue Mattel?

Reports from China say that the government of Guangdong Province may help local manufacturers file a lawsuit against Mattel.

Featured Jobs

Vivid Job Logo 620 x 349

Digital Marketing Executive - Toys & Games

Vivid is Britain’s biggest toy company and the 20 largest in the world. With offices across the globe, they sell an amazing portfolio of toys and games to over 60 countries. Vivid is best known for its association with blockbuster brands and is very excited about future opportunities around the world.


UK Sales Agents

Liberty House Toys have been appointed as the exclusive UK distributor for the BiOBUDDi brand, and we are pleased to introduce this new unique, innovative and exciting range of 100% environmentally-friendly toy building blocks. We are seeking experienced sales agents with existing network in the toy retail market.

Gameplan Job Logo 620 x 349

Head of Product Development & Marketing

Our client is a privately owned French toy and games manufacturer which sells through distributors in forty countries. The company develops and sells innovative electronic interactive toys and games for the educational and gaming markets, and also takes suitable licenses. To progress its successful business development a Head of Product Development & Marketing is to to recruited.

HIT Entertainment Job Logo 620 x 349

Licensing Systems Administrator

The Contract System Coordinator is a newly created role to support the deal term entry process into Mattel’s new Contract Management System for its Licensing business. The role will support the Business Teams at the Deal & Amendment phase of the contracting process and act in conjunction with the System Administration team.