JD.com Denies Rumors of Large-Scale Layoff
In the face of circulating rumors about JD.com undertaking large-scale layoffs, an insider at the e-commerce giant dismissed such claims in a statement to domestic media on Thursday. The source affirmed that the company has no plans for widespread layoffs and is, in fact, continuing to recruit new employees. The insider also disclosed that the total workforce at JD.com presently stands at 590,000.
Reports had suggested that JD.com is currently in the process of staff adjustments across different sectors including logistics, technology, retail, and industrial lines of business. The severance pay was mentioned to be N+1, with no year-end bonuses. An employee, speaking on condition of anonymity, revealed that the extent of adjustments varies between departments, indicating that his own department may see further changes in the coming year.
Earlier this week, JD.com‘s founder, Liu Qiangdong, addressed employee concerns on the company’s internal network. In his response, Liu acknowledged the need for JD.com to evolve, stating that without change, the company faces a dead-end. He agreed with employees’ criticisms, such as the overly complicated promotion mechanism, the incomplete implementation of the low-price strategy, and the lack of a comprehensive platform ecosystem. Liu admitted that these criticisms hit on the company’s pain points. However, he also pointed out the challenges of transforming the organization, saying, “The organization is now large, bloated, and inefficient, and it really takes time to change.”
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