As exclusively tipped by ChannelNews, Sydney-based TCL Mobile executives have sacked management and staff at their Australia subsidiary today via a conference call with Chinese executives.

We have been told that TCL Mobile staff in Australia were called to a meeting earlier today, only to be told they were being sacked and what their severance pay would be.

One person claims the severance pay is “pitiful”.

Earlier this week, TCL Mobile distributor told retailers that sackings were pending.

Among those to go is Channel & Marketing Manager Joseph Corrente, who when asked earlier in the week about the sackings said, “Not able to comment, this is the first time hearing this. You might want to double check your sources.”

ChannelNews understands that management in China have looked at the concept of merging their highly successful Melbourne TV and Appliance business with their mobile business in an effort to cut costs.

Currently, TCL products at retailers such as Harvey Norman are being discounted out. Many of the products are sold, some up to two years old.

According to insiders, the business has been struggling since Chinese management, which included several former Huawei mobile executives, took over the running of the Sydney-based business two years ago.

They have also had to face a surging Motorola.

ChannelNews understands that TCL Mobile have struggled to get at carriers and retailers, similar to what they had in the past, and when they have, retailers have struggled to sell through the Chinese Company’s products.

According to sources, TCL is going to try to run the business from China with a “skeleton” staff.

If you have news on these sackings email me at [email protected]