delivery staff facing pay cutsy to make deliveries in Jinzh

hinese e-commerce giant JD is reducing salaries for its delivery staff across the country by a

dopting a commission-based payment scheme and reducing benefits, in a bid to reduce costs and boost margins

after three senior executives of the company announced their resignation.

JD will replace its couriers’ basic salaries with commission-based compens

ation starting from June, and lower contributions to employees’ housing funds fr

om 12 percent to 7 percent, a move that could result in wage reductions, according to media reports.

JD Logistics, the logistics arm of the Beijing-based tech heavyweight, responded via it

s official Sina Weibo account, saying that as the number of orders from individual clients increases, th

e company is looking to adopt an incentive plan to reward outstanding employees.

It said that the company’s deliverymen in the second and third-tier cit

ies of southern China could earn more than 8,00

0 yuan ($1,191) under the current pilot scheme. “We expect to add more than 10,000

positions this year as JD Logistics is providing services to more industry customers,” JD said.

shapolanger.cn