Ongoing Focus | How Does the Laundry Industry Respond Under the Pandemic: Resist or Adapt?
Release Time:
2020-02-09 19:43
Source:
On February 3, 2020, starting from the Spring Festival holiday, the vast majority of Chinese people had been off work and resting for eleven days. Besides the rapid development of the epidemic, the most discussed topic nationwide was the survival issue of small and medium-sized enterprises.
Xibei Youmian Village is a nationally renowned chain catering enterprise, founded in Inner Mongolia in 1988. After more than 30 years of hard work, it has over 400 stores in more than 50 cities, with more than 20,000 employees. It is such an enterprise whose chairman, Jia Guolong, recently bluntly stated in an interview: If the epidemic cannot be effectively controlled in the short term, Xibei will not survive beyond three months. ”!
The impact of this epidemic on the catering industry is the most direct and fatal, but even enterprises like Xibei face the danger of not surviving. We cannot help but ponder: what should laundry enterprises, also part of the livelihood service industry, do?

People from all walks of life have offered suggestions: The country needs to increase policies on tax reduction and support for small and medium-sized enterprises; It is necessary to balance the interests of enterprises and employees, reduce the phenomenon of increased layoffs after resuming work due to heavy burdens; exempt some fees that small and medium-sized enterprises need to bear, and reduce the burden on enterprises... ”
On February 2, Suzhou introduced "Ten Policy Opinions to Support Small and Medium-sized Enterprises to Overcome Difficulties Together," effectively supporting and helping SMEs in three major areas: financial services and support, stabilizing the workforce, and reducing enterprise burdens. This seemed like timely rain, giving SME practitioners hope.
On February 3, Shanghai implemented four major policies including unemployment insurance job retention refunds, postponing the adjustment of social security payment bases, extending social insurance payment periods, and implementing training subsidies.
Subsequently, the Beijing municipal government introduced 19 measures to support the fight against the COVID-19 epidemic. It especially emphasized good enterprise services, including helping various enterprises stabilize production and operation, properly solving financing problems for struggling enterprises, delaying social insurance payments, and encouraging large commercial buildings, shopping malls, and market operators to moderately reduce rent for small and micro tenants during the epidemic period.
What policies and measures will other regions have? It still needs to be observed continuously. But how enterprises truly overcome difficulties, government support is one aspect; more importantly, it requires starting from oneself, surviving, and planning for the long term.

Shanghai Epidemic Prevention and Control Press Conference: Introduced Burden Reduction Policies
(Image source: Xinmin Evening News)
For laundry enterprises, we have the following suggestions:
01
Try to reduce costs and ensure sufficient cash flow.
Assuming there is no income from now on, streamline expenses. Can your cash on hand last three months, five months, or half a year? We suggest everyone stop panicking and calmly calculate this account first.
If there is not enough cash, see if there are some inventories on hand that can be revitalized , quickly sell them at cost through online sales or other forms to recover cash. Having supplies on hand brings peace of mind.
Fully understand and connect with various government benefit measures , especially credit policies, tax reductions, and other policies closely related to cash.
02
Enterprises should not lay off employees lightly and should retain core talents.
Given the current situation, some enterprises have had to start "cutting off their own limbs" by laying off employees. We suggest that at this critical moment, enterprises and employees unite more closely to overcome difficulties together. 。
For employees who cannot resume work in time, can the corresponding wage payment methods be negotiated? For some management and technical staff, online work can be organized, providing convenience for online work, doing basic work well, and making full preparations for subsequent resumption of work. Getting through this winter will bring the next harvest.
As employees, at this time, you should also fully understand and support the enterprise, stand with the enterprise and the boss to overcome difficulties together.
If layoffs really occur, they must comply with policies and regulations and do a good job in follow-up work.
03
Production enterprises must do a good job in management and epidemic prevention.
Production enterprises should resume work as soon as possible under the premise of complying with national regulations and implementing employee epidemic prevention measures. Without resuming work, there is no income. 。
Do a good job in communication and coordination with upstream and downstream. Under the epidemic, everyone's life is difficult; only by watching out for each other and sticking together can we keep warm.
When production tasks are not heavy, more energy can be spent on refining products, training personnel, and lean management methods.
For the laundry industry, which is closely related to people's livelihood, income mainly depends on various types of residential consumption (except medical laundry-related). It is imaginable that our benefits lie not only in government support but also in economic recovery, increased offline traffic, and the gradual return of people's consumption desires.
Jack Ma said: Today is cruel, tomorrow is even crueler, but the day after tomorrow is beautiful. To welcome a better future, we must get through today and tomorrow.
2020, living is the hard truth.
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