Chapter 16 Company Expansion! (3rd update, please vote for recommendation)

The profit of one or two yuan may not seem like much, but when the number of products increases, the profit of one or two yuan will definitely shock people.

Although it is only one or two yuan, perhaps when the number of these two yuan is increased, it may be able to support the wages and benefits of workers.

When it came to wages, Lin Xuan looked at the current number of workers at Hantang Technology Company.

Now the number of workers in Lin Xuan's mobile phone production department has increased from more than 500 to more than 700. These are the skilled workers Lin Xuan recruited simultaneously during this period.

Now Lin Xuan recruits directly skilled workers who have been working for several years, while Lin Xuan honestly says he is not willing to recruit newbie temporary workers who have just graduated.

After all, what Lin Xuan needs now is stability rather than lower wage costs, so these more than 200 workers are all skilled workers "recruited" from other factories.

Because Lin Xuan's wages are about 10% higher than other factories, and there are free skills training classes, five insurances and one housing fund, air-conditioned dormitories, free meals and other benefits, many skilled workers are attracted.

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In less than a month, Lin Xuan recruited more than 200 skilled workers through various means.

Naturally, other electronics factory owners and managers secretly resented this, but there was nothing they could do to stop them from leaving.

Because in order to avoid responsibilities such as five insurances and social security, many ordinary skilled workers in those factories have not signed contracts, so naturally there is no such thing as liquidated damages.

Their only restriction on workers is half a month's salary or one month's salary in the factory.

So when those workers really wanted to leave, they couldn't stop them even if they wanted to.

Because the worst case scenario is that people don’t need that month’s salary. What can you do in the face of this situation?

And in this case, if you don't pay your salary, then they will file a complaint with the relevant agency and you will be guaranteed to be compensated several times your salary!

Moreover, these factories avoid paying social insurance and signing contracts in order to save money, and they also face huge fines.

Therefore, many owners and managers of electronics factories secretly resented that Han and Tang mobile phones were disrupting the situation.

But they could only watch the Han and Tang mobile phone factories and had no choice but to watch the key personnel of their factory run into Lin Xuan's factory in front of them.

Lowering his head and continuing to look at the data, Lin Xuan found that in addition to factory workers, Lin Xuan also had a huge salary target, which was sales staff.

Lin Xuan's Hantang Mobile Phone Company previously had more than 30 sales staff. Currently, these 30 plus more than 200 newly recruited sales staff, the entire Hantang Company currently has a total of more than 230 sales staff.

Compared with ordinary workers, the visibility and initiative of sales staff will determine whether sales are successful, so the company adopts a salary plus commission salary model for sales staff.

The more products they sell, the more money they make. On average, Lin Xuan's average salary expenditure for sales staff reaches more than 2,000 yuan per person.

It can be said that the income of sales staff has far exceeded the income of many ordinary workers in mobile phone factories for a hard day's work.

But there is nothing we can do about it. After all, only when salespeople sell products can the company make a profit. If the monetary rewards are not enough, then there will be a situation where the salespeople are like sheep mills.

It is difficult for Lin Xuan to supervise those sales staff, unable to know how their work is going, unable to supervise whether they are serious about selling things, etc.

So in order for them to actively sell things, the rewards must be increased.

The consequence of increasing rewards is that their wages are forced to exceed what ordinary workers can earn after a day's hard work.

So on average for a month, Lin Xuan will pay a salesperson a salary of more than 2,000 yuan. The average here is the comprehensive average after averaging 230 people.

In other words, Lin Xuan’s salary expenditure on sales staff alone reached 460,000 yuan.

In addition to the average salary of more than 700 production workers of 1,600 yuan, that is a salary expenditure of 1.12 million yuan.

When the sales staff, ordinary workers, and management are added together, Lin Xuan's salary cost alone reaches 1.58 million a month.

Coupled with the special training courses invited by the masters, food, candy and fruit rewards for overtime work, water and electricity expenses, etc., Lin Xuan's monthly fixed expenses reached 1.8 million.

Lin Xuan is currently recruiting workers frantically and is expected to increase the number of workers from 700 to 1,000.

In this way, everyone no longer has to work crazy three shifts. After all, although the Han and Tang mobile phone factories are now known as three shifts.

But in fact, on average, the total time workers spend in the factory every day has reached 13 hours, which is why workers are complaining like this now.

If there are 1,000 workers in a mobile phone factory, then on average each worker only needs to work eight hours.

Of course, Lin Xuan also supports those who voluntarily work overtime for no more than 12 hours. Lin Xuan is just giving them more choices.

If you want to work overtime, then work overtime; if you don’t want to, then work overtime for 8 hours, and then go play, rest, and study. Lin Xuan supports them in these behaviors.

But it's too early to say this now, and all the workers who can quickly scrape it have already done it.

It will take some time to recruit the remaining 300 workers, and it is estimated that the recruitment will be completed by the end of May.

In addition, Lin Xuan has no plans to stop developing and recruiting people. After all, he has signed an order contract for accessories for five million mobile phones.

This factory alone, with a maximum daily output of 6,000 units, a monthly output of 180,000 units, and an annual production capacity of only 2.16 million units, cannot support the production of 5 million mobile phones.

Therefore, Lin Xuan plans to use the 5.5 million yuan in funds to expand the factory first, and then order mobile phone assembly production line equipment.

Although the cheapest production line equipment costs millions or even millions, Lin Xuan still expanded according to the goal of producing 1 million units per month.

With a monthly output of one million mobile phones and an annual output of 12 million units, the actual cost of purchasing production equipment alone is estimated to be 80 to 90 million!

But Lin Xuan is not afraid of this figure of nearly 100 million. He does not have 80 to 90 million now.

He can't come up with even 10 million in cash, let alone 80 to 90 million, but he doesn't have to pay immediately to purchase equipment.

Lin Xuan can first give a deposit of more than one million yuan to purchase equipment, let them send the equipment over, and then pay him after it is installed and debugged.

During this period, Lin Xuan has a month or two as a buffer, as long as he can get enough money during this period.

Therefore, the 80 to 90 million does not need to be spent immediately. Lin Xuan can pay for it slowly, and the most important thing is that Lin Xuan can also borrow money from a bank mortgage company first and pay it back slowly later.

It is difficult to borrow money from banks, but sometimes it is easy to borrow money.

The third update is here, thank you brothers for your support!
Chapter completed!