Rivals Start Poaching Staff From Embattled Chinese EV Startup HiPhi, Report Says(Yicai) Feb. 22 -- Automakers are trying to entice staff away from HiPhi after the troubled Chinese maker of luxury electric vehicles halted production, according to a media report.
EV manufacturers, including BYD, Li Auto, Spotlight Automotive, a joint venture of BMW and Great Wall Motors, set up WeChat groups to invite HiPhi employees who intend to leave its plant in Yancheng, Jiangsu province for interviews, National Business Daily reported yesterday. Many are considering jumping ship, it added.
Competition for staff is intense in China’s EV sector, which after growing quickly faces a talent shortfall that could exceed one million workers by next year, according to an earlier government report.
The Yancheng factory's administrative director is resigning, so there may be no one to handle other resignations later, according to a worker at the plant, who said he will likely not continue working in the city due to his disappointment in HiPhi.
Workers at the plant can appeal to government departments, take the time to find new jobs, and introduce employment opportunities to each other, the factory's acting head said.
The factory's head said he and other managers had not received wages and reimbursements, but called for its resources and equipment to be kept intact as HiPhi is seeking new investment. Alternatively, the assets could be sold to pay employees, he pointed out.
HiPhi is waiting for investors to throw it a lifeline, and founder Ding Lei is in Shanghai for management talks on investment and funding issues, the person added.
All HiPhi staff stopped working on Feb. 19 for what will likely be three to six months, depending on the situation in different regions, according to a media report that cited a letter sent to employees.
Human Horizons Technology, which owns the HiPhi brand, was set up in 2017. Ding, who is also its chairman, was an executive at auto giant SAIC Motor and the vehicle arm of video platform Leshi.
Dongfeng Yueda Kia Motor, a JV of Dongfeng Motor, Yueda Group, and Kia Motors, inked a deal to lease its first plant to Human Horizons to make HiPhi vehicles in June 2019. The brand has three models priced at up to CNY800,000 (USD111,150) apiece but sold less than 10,000 units last year.
Editor: Martin Kadiev
