Longi denies massive layoff plan, says job cuts could reach up to 5%

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Longi has revealed it might reduce its global workforce due to an “increasingly competitive environment” in the solar industry.

In order to adapt to market changes and improve organizational efficiency, Longi is optimizing its workforce,” a company spokesperson told pv magazine. “The expected job reduction rate is about 5% of total employees, and the information circulating online about our company's ‘30% layoff' plan is false.”

The statement refers to an article published by Bloomberg on Monday, citing “people familiar with the matter” as a source. The outlet reported that Longi was planning to cut around one-third of its staff to reduce costs and regain competitiveness in an industry plagued by overcapacity.

This is not the first time layoff rumors have emerged in relation to Longi. In December 2023, reports surfaced suggesting a significant reduction in expatriate laborers and management trainees, alongside a halt in social recruitment activities.

According to the company's latest annual report, it employed 60,601 people at the end of 2022. It was expected to have grown to around 80,000 employees by mid-2023.

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The March edition of pv magazine is dedicated to energy storage and considers sodium-ion’s chances of toppling lithium-ion, takes a look at compressed air technology, and asks whether big or small is the best approach for African solar and storage.

Longi is the world's leading vertically integrated solar enterprise. It recorded CNY 94.1 billion ($12.6 billion) of operating revenue in the first three quarters of 2023, up 8.55% year on year. Net profit attributable to shareholders of listed companies also saw an uptick, reaching CNY 11.694 billion, up 6.54% year on year.

However, Longi has also encountered significant challenges, due to escalating overcapacity in the PV sector and the continuous decline of module shipping prices.

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