STOCKS | Xinyu Shares Says It Is Addressing Graduate Contract Termination Dispute

Xinyu Shares, a leading mainland auto lamp maker seeking a Hong Kong IPO, said it has publicly apologised over a dispute involving the termination of contracts for fresh graduates and is now implementing related measures under government guidance, according to ETNet. Chairman and general manager Zhou Xiaoping said the company values the public scrutiny, has reviewed and corrected its hiring systems and procedures, and has filed complaints with cyberspace and internet security authorities over what it called inaccurate media reports. The company also said it will safeguard workers' legal rights and maintain compliant operations. Xinyu Shares was down 1.67% at RMB76.91. Public reports said the controversy involved the termination of 107 fresh university graduates and came as the company made a second push for a Hong Kong listing. On August 27, the company apologised and said it would provide job-seeking living subsidies, help connect affected graduates with other employers, and pay six months' salary if they remain unemployed within three months. On September 1, Volkswagen China said it had launched a special investigation into complaints related to the supplier.