Wenling shoe industry to seek transformation in the rectification

“Enrolling high-end workers” and “recruiting helpers”... Entering the 8 new villages of Zeguo and seeing such recruitment announcements from time to time. After several months of fire safety rectification, shoe-making enterprises and workshops in Wenling have resumed production.

However, an indisputable fact is that despite the fact that fire safety rectification has been carried out, it is still possible to find out from time to time the existence of some "three-in-one" small enterprises. “A private house where a few simple equipments are placed, several shoe materials piled up casually, and several temporary workers are recruited to form a small workshop without licenses and footwear.”

Taking Zeguo as an example, since mid-February, the town has conducted investigations and investigations on the shoemaking industry in Muyu and Lianshu, and carried out rug-type renovations on companies without licenses. Up to now, a total of 1,674 shoe-making enterprises have been investigated, 326 enterprises without licenses have been found, and 231 have been rectified, of which 108 have been seized.

In the industry's view, with this array of rectification of the east wind, the footwear industry needs to re-examine itself, or permit a new tomorrow.

Small businesses struggled to transform and large companies were affected

Lin Guiwei has been involved in shoemaking for more than eight years. He currently owns an industrial factory in Zeguo Yangde Village and has achieved a small business.

The “one fire” at the beginning of the year made Wenling City truly recognize the importance of safe production. In the subsequent fire safety rectification process, Lin Guiwei sorted out the “shoe-shoe assistance” business in accordance with the remediation requirements because of the limited plant area. The village of Bafen, which is close to Yangde Village, became his first choice. The two locations are only three or four hundred meters apart and production will not be significantly affected. According to Lin Guiwei, this is a good choice.

However, the eight new village is a residential area, and the houses are in the nature of private houses. According to the relevant regulations, new houses are not allowed in private houses.

This kind of regulation is more of a frustration. In Wenling, where land is very expensive, small businesses cannot afford the cost of land acquisition. In order to survive and develop, private houses are the best places for business. Although this was illegal, it was found that in the course of many firefighting and non-certificate corporate rectification inspections, small businesses, workshops, workshops, aisles, no additional escape routes, and workers smoking in workshops were found.

Lin Guiwei, like most people, chose to rent four private houses to set up a “stepping on shoes” workshop. He did not realize that his business license address was in Yangwei Village instead of Hefeng Village. During the company's unlicensed investigation on May 13th, Lin Guiwei’s workshop on “stepping on shoes” was temporarily shut down due to unlicensed operation.

At the suggestion of the staff of the industry and commerce department, the next day, he submitted an application for individual transfer to the company, hoping to convert the workshop of “stepping on shoes” into a corporate nature.

However, during this period, due to the interruption of the production of the upper, Lin Guiwei could only shut down the entire assembly line and wait for the relevant departments to reply.

He said that this stop, the loss will be nearly one million yuan. For a small business, it is undoubtedly a major blow.

In the entire shoe industry chain, such attacks hit the downstream industry chain. For instance, the most obvious feeling of Zhe Nuoer’s footwear industry is that the supply of accessories such as heels and shoe eyes has decreased, and the prices have risen significantly.

Cai Jianhua from Boyang Footwear Co., Ltd. has the same feelings. The number of small factories in the upstream processing industry is getting smaller and smaller. Newly-established companies can only use industrial plants and the cost of external processing increases. “Wenling shoe companies have basically outsourced their business, such as 'shoeing the shoe' and parts production,” said Cai Jianhua. Taking Boyang footwear as an example, in the off-season, the entire process from the processing of shoe accessories to the production of a pair of shoes can be completed internally; once the peak season is reached, the production capacity must not be able to keep up. The rising production costs of the upstream small processing plants will ultimately be borne by the companies that produce finished products.

The market order has improved and the customer's requirements are stricter

However, compared with the temporary difficulties such as price increase and supply reduction, the upper family members in the shoe-making industry chain are more eager to carry out rectification actions for a long time, which will not only attack some companies with hidden fire safety problems, but also help regulate the market order. After all, the market order is particularly important in the long run.

“The footwear industry is a labor-intensive industry. Most shoe factories need dozens of workers. The frontline workers are very mobile. For them, they often pay more attention to the salary, not the size of the company or The pros and cons of the production environment.” Lin Mingbiao of Zhe Nuoer’s footwear industry said that in the actual recruitment process, they will encounter such a situation –

A regular enterprise taking into account the long-term healthy operation, the monthly salary generally does not fluctuate too much, with more than 3,000 yuan. However, a small business without licenses and small workshops are in urgent need of manpower in the peak season, and they will be given high wages, which may be 4,000 yuan or even 5,000 yuan. Once the peak season is over, the wages will generally be settled and no longer be retained. This kind of "reward-seeking" recruitment method means that small enterprises are already familiar with the fact that the company itself does not have production cost pressures. The high wages in the peak season can be borrowed from the off-season. If the income is flat over a period of time, the workers are also happy for a while.

However, following closely, "For the sake of stabilizing people's hearts, large companies can only follow rising wages, virtually leading to confusion in the labor market, disguising the overall wage level of workers in disguised form, and increasing the company's production costs." Lin Mingbiao said that in the first half of this year After the start of the rectification of Wenling unlicensed shoe-making enterprises, the wage fluctuations of workers have apparently stabilized. In this regard, Lin Yunming of the people's livelihood footwear industry shares this view.

"For export-oriented companies, whether they are large companies or small businesses, another reason for remediation is that they can be assured to foreign customers." Lin Mingbiao further explained that in recent years, Wenling shoes a lot of negative news, such as Problems such as "triple play" and labor disputes have been frequently exposed, and customers around the world have been prejudiced against Wenling companies. “When assessing a cooperative enterprise, foreign customers require strict standards to eliminate product quality, cleanliness of the production workshop, and a social responsibility test. If there are frequent negative reports in an area, customers will be Whether it has taken up due social responsibility or not has caused concerns.” Lin Mingbiao said that in the first half of this year, foreign customers re-evaluated the social responsibility of Zhe Nuoer’s footwear industry while placing orders with Zhejiang Nuoer’s footwear industry. .

Although the assessment passed smoothly, Lin Mingbiao felt that after the shoe companies rectified regardless of their size, the elimination of fire safety hazards and the establishment of a standardized market order had a positive effect on the development of the entire industry. When all companies are competing on a fair platform, companies will continue to create more value.

Exploring the New Model of Developing Village Collective Enterprises

In the process of rectification, there are also some problems that need to be solved. As the residential houses already mentioned above are used as business premises, in the face of the fact that industrial land has been stretched, the production and operation sites are private houses. Are they to be banned?

In fact, there are already pioneers. According to the introduction of the industry and commerce department, at present, Hengjing Village is a rare model village that allows newly-run shoe-making enterprises in private houses. The village began to introduce shoe enterprises in December 2013. The village committees hope that this will lead the villagers to embark on the road to prosperity.

On May 22, the author went into the village of Hengjing to find out.

“Our main measure is to catch fire.” Ye Chunqiu, the party branch secretary of the village, introduced that the village handles a village collective business license. All companies that go to the Hengjiao Village shoe factory will be linked to this license and will be managed by the village. . In this way, the shoe size of Hengjing Village is equivalent to a village collective enterprise, and all responsibility falls on the shoulders of the village committees.

Since the beginning of this year, the production workshops of each shoe-making company in Hengjing have been completely remodeled. Indoor smoke detectors, sprinkler systems, and fire emergency faucets are installed. At the same time, the stairs are transformed into closed stairs, so that production and operations are completely separated from accommodation. In the outdoors, Hengjing Village is equipped with fire patrols and Skynet projects covering the new district and the whole village. More than 30 Hucun team members conduct daily night inspections. “Smoking indoors is absolutely not allowed, and the village has also booked a fire truck and is ready for the day.”

Every day, the village's floating population office will convene the village workers and business owners in batches to conduct fire safety knowledge training until all people pass the test.

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