• JD.com has started laying off its 10%-15% staff
• Alibaba and Tencent are also allegedly planning to cut around 10% of their staff this year

JD.com, a Chinese e-commerce firm based in Beijing, has started laying off at least 400 employees after reports of its competitors — Tencent, a text-messaging and gaming giant and Alibaba —planning to cut around 10% of their head cuts.

The decision on layoffs comes at a time when Chinese tech companies are fighting against governing crackdowns and a cooling economy.

Job cuts at JD.com are mainly out of its group-buying unit, Jingxi, where around 10%-15% of staff will be removed from jobs

Sources cite that based on the headcount of Jingxi of 4,000, some 400 to 600 people are likely to be fired.

Launched in 2019, Jingxi is a subdivision of JD.com’s new business section, which has been wrenching up losses. For those unaware, the company offers services and goods at a substantially reduced price when a minimum number of users pledge to buy them.

As per the latest earnings report of JD.com, the segment conveyed losses of $505.9 million throughout the three months ending on December 2021, more than double the losses recorded last year.

The JD.com news comes amid Alibaba and the other e-commerce giant, is said to be viewing layoffs of at least 15% staff this year.

Sources state that this would result in around 39,000 people losing their jobs.

Tencent, which owns the popular messaging platform WeChat and has around 86,000 employees, is also considering laying off around 10% to 15% of its staff this year in specific business units. Most of the cuts will occur in cloud and intelligent sectors and content and platform business groups.

Source Credit - https://www.businessinsider.in/tech/news/chinas-e-commerce-giant-jd-com-is-reportedly-laying-off-at-least-400-workers-adding-to-massive-layoffs-seen-at-other-major-chinese-tech-firms-like-alibaba-and-tencent/articleshow/90394320.cms