Today, it was reported that Alibaba Group has issued an internal announcement stating that it will upgrade its employee incentive plan, which will include long-term cash as an equity incentive in addition to a one-time year-end bonus.
There are two key points to the specific adjustment: the newly granted performance and promotion equity incentives starting from April 1, 2024, will be adjusted to a combination of "equity+long-term cash"; The second is to adjust from annual attribution to quarterly attribution.
Regarding this, the journalist from Chao News sought confirmation from informed sources that the relevant information is true.
According to relevant internal announcements, one of them is the adjustment of incentive tools: from April 1, 2024, newly granted performance and promotion equity incentives will be adjusted to a combination of "equity+long-term cash". Each business will develop its own policies based on its own situation.
Another adjustment is the "rhythm of attribution": Starting from April 1, 2024, newly awarded performance and promotion awards will accelerate the frequency of attribution and distribution, from the original annual attribution to quarterly attribution, with attribution of 1/16 per full quarter.
In the eyes of the outside world, this move is aimed at improving the certainty and liquidity of employee compensation and income, so that the money received by employees will be more certain and relatively more flexible.