New Oriental was revealed to be laying off employees, what is the reason behind it?

Because the state has introduced a double reduction policy, a large number of tutorial classes have been closed, which has greatly reduced New Oriental's profits. So in order to save expenses, New Oriental had no choice but to lay off employees.

It is because there is a problem in New Oriental's operation, New Oriental's operation has also been hit, and it has also been restricted by national policies, and it cannot make a profit by recruiting students, so it will lay off employees on a large scale.

Because there are a lot of stress reduction policies in place, many training courses are no longer able to go on normally, so there are layoffs.

At present, some national policies are not conducive to the development of training institutions, and many teachers are automatically resigned, not New Oriental layoffs.

Now these institutions have been affected by the double reduction policy, and they don't need so many personnel, so they will lay off employees.

But there is no way to do this, because the current epidemic is still difficult to completely control, and the double reduction policy has been implemented. Moreover, many large educational institutions have no longer focused entirely on educating students, but more on propaganda and money. As a result, many educational institutions have been forced to start layoffs, rectifications, or even closures.

As a large-scale educational institution, New Oriental has been restricted from closing these extracurricular training institutions because of the relevant national policies, and then during the epidemic, it has affected many enterprises, and it is currently changing the way of operation, so let's look forward to it.

New Oriental now operates relatively stable, laid off 60,000 employees last year, and has changed its operation model this year and found a new direction of development.

The current situation is very poor, although they are trying to transform, but their income has decreased a lot, and the development of the company is particularly poor.

The situation is not good, they have laid off a lot of employees, their earnings have decreased by 80%, and their development has been greatly restricted.

New Oriental was sanctioned because it was affected by national policies. I believe that many students will be more relaxed in the future, and can experience the joy of life, instead of being in the institution all day. Affected by the national policy, in 2021, the country implemented a double reduction policy, and since the implementation of this policy, many off-campus institutions have closed.

Of course, there are some very well-known institutions, such as New Oriental and Xueersi, which have suspended the business of compulsory education training.

New Oriental

New Oriental's full name is New Oriental Education & Technology Group ****, and it used to be known as Beijing New Oriental Education & Technology (Group) **** and Beijing New Oriental Education & Technology Co., Ltd. Founded on August 2, 2001, the Haidian Branch of the Beijing Municipal Administration for Industry and Commerce was registered and established, and the registered place is located in Haidian Middle Street, Haidian District, Beijing.

The business scope includes technology development, technical consulting, technical services, technology transfer, education consulting, self-financed study abroad intermediary services, translation services, business management consulting, conference services, educational software development, computer system services, business management, investment management, asset management, investment consulting, etc.

Founded on November 16, 1993, New Oriental Education & Technology Group has developed and grown from Beijing New Oriental School, with training as the core, with Mantianxing Kindergarten, Bubble Children's Education, Youneng Middle School Education, Basic English Training, University English and Postgraduate Entrance Examination, Overseas Examination Training, Multilingual Training and other training systems, and has made remarkable achievements in basic education, vocational education, education research and development, overseas consulting, cultural industry, etc.

Yu Minhong denied "withdrawing from New Oriental", New Oriental since the double reduction policy, there is no previous "brilliance", several transformation failures, Yu Minhong took the teachers into the live broadcast industry, however, due to lack of experience, Yu Minhong and his team are very difficult in the field of live broadcasting, Yu Minhong has a sense of exhaustion several times, it can be seen that he is very confused about where the future of New Oriental is!

The live broadcast has never been able to open the situation, whether to stick to it or not, maybe it's time for Yu Minhong to make a choice! In fact, New Oriental should not be transformed across industries, New Oriental is doing subject training, and it is the education industry! In this way, under the double reduction policy, subject training can not continue, Yu Minhong can do preschool education, early education, Yu Minhong must have experience in this regard, even if the team has no experience, as a teacher with strong learning ability, it will be much easier to quickly enter the state!

In this way, Yu Minhong's transformation still chose the wrong path, I think how many netizens shouted in the air that they hoped that Yu Minhong would do the preschool education and childcare industry, I don't know why Yu Minhong directly gave up this choice!

foreign markets. There has been news that Yu Minhong is about to go abroad to open a Chinese training course, and will soon conduct subject education training abroad! I have to say that this idea is still very good, if Yu Minhong quickly opens up the situation abroad, then, New Oriental may rise against the trend and once again have some achievements and achievements!

As the strongest in the subject category, it is a kind of advanced idea to seize the foreign market first! Especially in South Korea, Japan and other countries, the development of off-campus training courses in these countries is in full swing, New Oriental might as well give it a try!

A crisis is a turning point.

As the saying goes: "A crisis is a turning point", although New Oriental said that the current situation is not optimistic, but New Oriental has "capital", after all, the brand of New Oriental is well-known! In this way, as long as New Oriental finds the right way as soon as possible and persists in doing it, it will definitely usher in the "spring" of development!

Yu Minhong denied "withdrawing from New Oriental", what do you think about this?

Yu Minhong denied "withdrawing from New Oriental", what is the company's current situation? According to the subject's question, mine is as follows. "I've always suspected that what I think is a dedicated effort for New Oriental is actually the opposite.

It has become an obstacle to the next stage of New Oriental. If we are worried about fame and fortune, we will lose our whole life, and if we miss the past, we will never come back. Because of these words, some friends and New Oriental people thought that he was going to quit New Oriental.

Many people sent WeChat and email inquiries, which also caused some investors to question. In this regard, he clarified that he does not want to leave New Oriental immediately, nor does he want to ignore it, but hopes that he will look at New Oriental from a higher level and lead New Oriental to develop in a better direction.

"Although New Oriental is a dream place for me, I really prefer to stay away from New Oriental. Yu said. "At least I hope that I can stay away from the trivial things of New Oriental, just take the pulse in the general direction and concentrate everyone's wisdom to do a good job in New Oriental.

He also mentioned that recently New Oriental merged 10 shares and turned it into 1 share. "In this way, New Oriental's stock price will look better on the surface, but the actual value has not changed. Some friends couldn't understand it, so they sent me WeChat to express warm congratulations, saying that they regretted not buying New Oriental**.

I hastened to explain the reason and comfort their wounded hearts. ”

Yu said that in New Oriental, this matter will not cause any waves. We should make adjustments and efforts to continue our daily work. "After such a long period of precipitation, everyone's emotions have calmed down.

The rest of the employees and managers are seriously doing their own business and trying to explore new development opportunities and directions. "On April 8, New Oriental's previously announced plan to change the proportion of ADS officially came into effect. On March 28, New Oriental announced that it plans to change the ratio of its American Depositary Receipts (ADS) to ordinary shares from 1 ADS share representing 1 ordinary share to 1 ADS share representing 10 ordinary shares.

After this change comes into effect, for New Oriental ADS holders, the change in the ADS ratio will have the same effect as the 10:1 reverse ADS split. In the process of merger, the total value of its shares remains basically unchanged, which mainly affects the stock price

After the merger of 10 shares into 1 share, the share price of New Oriental U.S. shares will also become 10 times that of the previous one. As of April 11**, New Oriental (NYSE**:edu) U.S. stocks closed in U.S. dollars,**.

Prior to the announcement of the change in the ADS ratio, New Oriental's stock price fell below $1 several times in March, and on April 7, it was only in US dollars. After the merger took effect, the ** price of New Oriental was adjusted to US dollars on April 7.

The company's current situation is very poor, because as soon as the double reduction policy came out, the company's profits fell a lot, and now the company is estimated to be about to go bankrupt.

The New Oriental Educational Institution, which Yu Minhong now runs, has also been hit hard. But he is still insisting on the transformation of the company. And did not quit this company.

The company's current situation is not particularly good, the development of New Oriental has encountered obstacles, and it is also trying to make new transformations, but I don't know what the follow-up road will be.

1. Economic layoffs: Due to difficulties such as poor business operation or long-term losses, it is necessary to reduce various costs through layoffs. This type of layoffs is very common, especially in companies with a large number of employees.

2. Structural layoffs: Centralized layoffs caused by internal organizational adjustments due to changes in the company's business direction, such as spin-offs, mergers, reorganizations, etc. These layoffs usually occur in more established companies.

Structural layoffs are an important prerequisite for strategic realignment. The purpose of this layoff is to allow the company to retain talent that is aligned with the new direction, and theoretically does not lead to a decline in economic benefits, but if it is not implemented properly, it can cause losses.

3.Optimize layoffs: Companies dismiss employees based on performance evaluation results, either through the latest elimination system, or by dismissing employees who have not had long-term development in disguise.

Such dismissals are usually minor, but they are distinctly cyclical, both after the results of the annual assessment and at different points in the industry. The purpose of optimizing layoffs is to eliminate employees who are not suitable for the position and the company and to supplement their work with vacant positions, thus increasing the efficiency of the company.

Returning to the development of the company itself, the purpose of layoffs must be to obtain better economic benefits. Whether it's a forced dismissal due to business difficulties or a proactive attack due to optimization and adjustment, it can lead to better results for the company. But the specific benefits are not measurable, first of all, the situation is different for different companies, and the situation of layoffs is also different.

Paragraph 4 of Article 60 of the Labor Law and Contract Law stipulates that economic compensation shall be paid to a worker according to the number of years he or she has worked in the unit, and one month's salary shall be paid for each full year.

Conclusion: And the cost is immeasurable, but layoffs alone will not lift any company off the brink of collapse. Similarly, layoffs alone will not lead to a successful transformation and efficiency gains.

Generally speaking, if the company's performance is not good for a certain period of time, the company will generally consider reducing expenses by laying off employees. In addition, if they feel that there is no need for so many staff, and they feel that it is actually a bit redundant, then they will also reduce the staff by laying off staff.

The company began to lay off employees, indicating that the company's development has begun to decline, otherwise it will not lay off employees, but will actively recruit people.

If you don't manage it well, you must break your arm to protect yourself, open source and reduce expenditure to survive.

Incomes are reduced and it is impossible to afford so many employees. Or adopt a better model that doesn't require so many employees.

Because New Oriental has been unable to make ends meet, there is no way to continue to support so many employees. <>

A New Oriental crazy layoff, the information of more than 60,000 people appeared on the hot search of social **. This hot search was watched by hundreds of millions of netizens, and everyone thought that they didn't expect New Oriental to still have such a huge strength, in fact, many netizens believe that after the national double reduction policy was released, New Oriental has gone downhill, but it is true. New Oriental has long said through its personal ** that they will stop a series of online and offline education industries, and develop all the focus of the industry to other types.

However, the reduction of 60,000 yuan of labor is a last resort, after all, the development of the company now does not need such a large number of employees. And as for Yu Minhong, the founder of New Oriental, revealed that even after laying off 60,000 yuan of employees, New Oriental still has 50,000 employees left. Therefore, netizens underestimate the strength of New Oriental, as the largest education brand in China, its ability is naturally very powerful.

It's just that current events have changed, and now they don't have the same style in various businesses, so reducing the number of employees can reduce the company's daily living expenses, which can save money for the development of other industries. Because Yu Minhong has long said that New Oriental will create a brand called Oriental Selection, which focuses on helping farmers and bringing goods to the industry. Many brands have been selected by the East, throwing out an olive branch of cooperation, and want to reach cooperation with them as soon as possible, one is to take a fancy to the brand effect of New Oriental, and the other is to recognize the quality of Oriental Selection.

And even if 60,000 yuan was laid off, New Oriental still has a complete set of measures for these employees who have left. You can compensate for their departure, which is what a mature company should do for its employees. It is expected that New Oriental will be able to make a comeback in the next few years.