In October last year, US authorities banned the shipment to China of devices that enable the manufacture of 3D NAND solid-state memory with more than 128 layers, and these sanctions were clearly aimed at the leading Chinese industry YMTC, which eventually forced its workforce to reduce ten percent.
With such information, the publication South China tomorrow post, referring to YMTC employees who wished to remain anonymous, including those already fired. According to some estimates, the company now employs around 6,000 people and if it is necessary to downsize 5 to 10% of the workforce, several hundred will lose their jobs. The formal reason for the downsizing at YMTC is their lack of performance in 2022.
In general, the interest of the press in this issue arose after one of the dismissed YMTC employees, who had worked at the company for more than four years, complained on social networks about the need to return part of the subsidy to the employer for the purchase of housing in Wuhan, where the company is headquartered. YMTC is willing to “forgive” such debts to employees only if they have worked more than five years, and less experienced employees who participated in the corporate housing subsidy program are forced to return funds issued by the company. In one particular case we are talking about just under $60,000, but in some situations it can be $148,000.
It was also revealed last week that YMTC had to postpone the construction of its second plant in Wuhan due to equipment supply problems. Under the conditions of tougher sanctions, it is extremely difficult for the company to develop further, although in a short period of time since its establishment in 2016, it has managed to move one or two steps closer to world-class competitors technologically.