JD.com's $3.12B Housing Plan for Delivery Drivers

JD.coms Massive Housing Support for Delivery Drivers: A Response to Intense Competition and Public ScrutinyChinese e-commerce giant JD.com has unveiled a colossal housing support program for its delivery drivers, pledging twenty-two billion yuan, equivalent to three point one two billion US dollars. This initiative aims to address housing needs, a significant concern for couriers amidst fierce competition in the instant retail market.This move follows a similar commitment from food delivery company Meituan, which announced a ten billion yuan investment over five years for its delivery riders welfare. Both companies, along with Alibaba, are engaged in a fierce battle for market share in the delivery sector, leading to billions in consumer subsidies and discounts that have squeezed profits and attracted regulatory attention.Chinese authorities have urged these companies to engage in rational competition, following concerns about the immense pressure on Chinas estimated twelve million couriers. The challenging lives of these delivery workers have gained public attention, leading companies to promise better social insurance and adjust incentive structures.JD.com has already provided twenty-eight thousand housing units and plans to offer one hundred fifty thousand more over the next five years. Meituan has its Rider Apartments scheme, providing affordable housing in major cities.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.