Chinese e-commerce giant Alibaba Group Holding Ltd has said that there will be no layoffs in this year, as said its CEO Daniel Zhang on Friday in a Weibo post.
The chief executive also revealed the plans to not only make the platform of Alibaba effective but also share strategy to drive more manufacturing and services orders by utilizing the platform’s resources to stimulate consumptions, and defied the layoffs by saying that the company, in the midst of slowing Chinese economy, with the leverage of being an online platform is prioritizing the job creation.
Earlier in last month, Bloomberg citing several resources reported that Alibaba is going to spend less on travelling and was postponing some of its new hiring to level the effects of country’s slowing economy. The report cited that newly hired staff had been asked not to join the company before the start of new fiscal year in April and to reduce the travel expenses, company had limited business-class airfares on a unit-by-unit basis, with staff allowed to select a premium cabin on every fifth of those round trip which took more than 20 hours.
Alibaba’s stance to avoid layoffs has came at the time when many of the big firms in China are coming out to be laying off their employees, as this week reports surfaced in the Chinese media that e-commerce firm JD.com which is also rival to Alibaba is cutting 15 percent of its senior executive posts, whereas days earlier CEO of Chinese ride-hailing firm Didi Chuxing had revealed the company’s plan to cut 15 percent of its employees with intentions to add as much as possible jobs by creating new roles.
The comments of Alibaba’s CEO though contradicts with the actions of other firms in China but is somewhat matches with the number of its employees which were 101,550 worldwide at the end of 2018 and above from a year earlier strength of 63,809.