According to JD Blackboard News, on February 5th, JD Group announced that starting from February 1st, 2024, over 20000 JD frontline customer service employees will achieve an average annual salary increase of over 30%.
JD stated that JD customer service was established in 2009 and has now developed into the largest self operated customer service team in the industry. In addition to paying the "five insurances and one fund" for all employees, JD.com has established a multi-dimensional welfare care and talent development mechanism.
It is worth noting that according to a previous report by Meijing.com, a reporter from the Daily Economic News learned from JD.com that starting from January 1, 2024, all online business colleagues at JD.com will have their original monthly performance-based salary and floating year-end bonus added to their fixed salary, enjoying a fixed year-end bonus of four times their monthly salary. After the adjustment, the annual fixed salary will increase by nearly 100%.
From the details of this salary adjustment, JD has chosen to significantly increase the fixed salary for frontline business employees led by JD's procurement and sales, and improve the basic benefits of business personnel.
On the afternoon of December 28th last year, JD.com issued a procurement and sales call, calling on JD's procurement and sales brothers who had traveled abroad to "go home". JD stated that after JD's return to the company, the welfare age will continue to accumulate, including age subsidies, housing security funds, continuing education, exclusive titles for senior employees, and employee assistance funds. The newly launched retail sales compensation policy also applies, with a salary increase immediately upon returning home.
According to Interface News, JD.com's last large-scale salary increase can be traced back to 2021. JD.com announced that from July 1, 2021 to July 1, 2023, it will gradually increase the average annual salary of employees from 14 to 16 in two years, and will directly increase salaries for two months starting from the month of the announcement.
On November 22, 2022, JD founder Liu Qiangdong stated in an email to all employees that he would implement "one promotion and one reduction" measures for the treatment of employees and executives. In terms of executive compensation, in order to improve the welfare benefits of grassroots employees and minimize the pressure on the company, starting from January 1, 2023, the cash compensation of senior management personnel of JD.com Group will be reduced by 10% -20%, with more reductions occurring at higher positions. In terms of improving employee benefits, JD plans to gradually convert outsourced employees into Debang's own employees, ensuring that outsourced employees can also enjoy the five insurances and one fund benefits of their own employees.
At present, the e-commerce industry has entered a new stage of competition. As a platform that witnesses the development of China's e-commerce industry from scratch, JD.com has made leading contributions in self operation, logistics, and other aspects in the past. However, it cannot be denied that JD.com has also encountered some challenges in the current competitive environment. At the beginning of this year, Liu Qiangdong first proposed low price reform during an internal retail group conference. This low-priced reform can be seen as a self revolution of JD.com in the new competitive environment. JD.com needs to abandon its inherent thinking and enhance the creativity and combat effectiveness of the entire company. The core idea of JD's self revolution lies in valuing talent - no matter how the competitive environment changes, it ultimately boils down to talent competition.
JD Group's third quarter financial report shows that in the third quarter of 2023, it achieved a revenue of 247.7 billion yuan, an increase of 1.7% year-on-year. Specifically for its segmented business, its retail revenue in the third quarter was 212.1 billion yuan, a year-on-year increase of 0.1%, compared to a growth rate of 5% in the previous quarter. In terms of product revenue, JD's product revenue in the third quarter was 195.304 billion yuan, a year-on-year decrease of 0.9%. Among them, the growth rate of revenue from electronic products and household appliances stagnated, while the revenue from daily necessities was 75.9 billion yuan, a year-on-year decrease of 2.3%. The service revenue reached 52.4 billion yuan, accounting for 21.2% of the overall revenue. In the third quarter, JD Group's net profit was 7.936 billion yuan, a year-on-year increase of 33.09%, and Non GAAP's net profit was 10.6 billion yuan, a year-on-year increase of 6%.
In addition, the financial report shows that in the third quarter, JD's total expenditure on human resources (including its own and external employees) reached 25.9 billion yuan, and the total expenditure on human resources in the first three quarters was as high as 76.3 billion yuan, which is 3.7 times the net profit of the first three quarters. It is reported that JD currently has over 560000 employees, including hundreds of thousands of grassroots employees such as express delivery guys and procurement and sales.
Daily Economic News is a comprehensive collection of JD Blackboard News, Meijing.com, Interface News, and Public Information