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as we enter 2024, with the rise of domestic new energy vehicles and the price competition among new energy vehicle products, joint venture brands that focus on fuel vehicles will be in a relatively difficult situation, especially japanese brands that lack brand influence and product advantages.

recently, according to relevant media reports, dongfeng honda is facing a strategic adjustment and plans to implement a large-scale layoff. it is estimated that the number of employees affected will reach 2,000.

the report mentioned that dongfeng honda’s layoff compensation plan is the “n+2+1” model.

the "n" represents the number of years the employee has worked, and each year corresponds to one month's salary as compensation, and there is no upper limit on the number of years. the "+2" part is a bonus of two months' salary for each employee, and the calculation basis is the employee's average monthly salary before tax in the past year (august 2023 to july 2024). "+1" refers to other possible benefits.

interestingly, dongfeng honda previously held a farewell party for employees who were leaving. in terms of human relations, dongfeng honda's handling of the situation was also full of human touch. now that the "n+2+1" standard has been proposed, since the number of layoffs has been determined, those old employees who are ready to seek better opportunities will naturally scramble for the quota and maximize their benefits.

layoffs are also a reflection of the car manufacturer's attitude and concern for its employees.

in contrast to dongfeng honda's layoffs, which were consensual between the employer and the employees, many domestic auto companies have laid off employees, and many have even gone to court. for example, ideal auto's layoffs in the first half of the year required laid-off employees to go through security checks before entering the factory to prevent trouble, and the company also advised employees to say they were leaving voluntarily. this is in stark contrast to dongfeng honda.

the latest sales data show that in august, honda's domestic sales were only 57,000 vehicles, and its domestic terminal sales from january to august were 525,000 vehicles, a year-on-year decrease of 27.2%.

meanwhile, honda revealed on august 7 that it plans to further reduce its annual automobile production capacity in china by 200,000 vehicles, and is coordinating on this matter. earlier, honda had announced that it would reduce its production capacity by 50,000 vehicles, bringing the total reduction to 250,000 vehicles. previous reports pointed out that the reason for the production reduction was that the competition with local manufacturers became fierce and sales were sluggish. so if this trend continues, the layoffs mentioned above may not be the last for dongfeng honda.