Honeywell Closes Shenzhen Security Plant with Annual Profit of 100 Million Yuan

Recently, Honeywell announced the closure of its subsidiary Honeywell Security (China) Co., Ltd.'s factory in Fuyong, Shenzhen, China, and moved to Xi'an as a whole.

One of the controversial issues arising from this closure is that Honeywell’s Shenzhen Fuyong Plant remained profitable in 2016, and its net profit reached 100 million yuan. Under such circumstances, the sudden announcement of the dissolution of the plant was a reason behind it. The most difficult to accept is the employee.

At noon on March 22nd, hundreds of workers from Honeywell’s Shenzhen Fuyong Plant gathered at Wanfu Plaza in Bao’an District and took banners to protest.

The banner reads: "Honeywell Shenzhen Fuyong Plant has a net profit of 100 million yuan in 2016", "Honeywell Honeywell, high profit, evacuated Shenzhen to abandon employees", "unscrupulous Honeywell, also my staff hard-earned money, compensation must be 2n +1 ".

From the banner, it is easy to see that the conflict between employees and Honeywell is mainly focused on the compensation plan. The employees of Honeywell's Shenzhen Fuyong Plant requested a “2n+1” compensation plan.

However, most of the company’s layoff compensation programs are “N+1”. Honeywell is said to have proposed a relatively good N+3 compensation plan, but employees insisted on “2n+1” compensation. So this also made Honeywell not reach agreement with the staff on the compensation agreement.