Archive — CN — technode
JD.com raises salaries and grants stock to Dada employees
JD.com announced a salary upgrade and stock grants for Dada employees, boosting their pay to 19 months' salary in 2023 and 20 months' in 2025. This follows Dada's merger with JD's subsidiary, set for Q3 2025, impacting Dada's employee structure as it becomes a wholly owned subsidiary. JD's food delivery sector is expanding, with over 10,000 full-time riders signed on, marking significant growth in daily orders.
Key points
- JD.com announces salary increase for Dada employees to 19 months' salary in 2023 and 20 in 2025.
- Outstanding employees will receive stock grants from JD Group.
- Dada's merger with JD Sunflower Investment Ltd. and its subsidiary will make Dada a wholly owned subsidiary of JD.com.
- The merger is expected to finalize in Q3 2025, leading to Dada's ADS delisting.
- Dada couriers are crucial to JD.com's food delivery expansion.
- In February, JD signed contracts with full-time delivery riders, many from Dada, with over 10,000 signed by March.
- Daily food delivery orders surpassed 1 million by March 24.
Why it matters
- This move aligns with the trend of companies focusing on employee retention and incentives amidst competitive hiring in the tech and delivery sectors.
- The merger is part of a larger trend where major tech firms consolidate ownership of delivery services to enhance operational efficiency.
- The growth of JD's food delivery service reflects the increasing demand for online delivery solutions resulting from lifestyle changes during the COVID-19 pandemic.
JD.com's strategic salary and stock incentives for Dada employees, along with their merger, highlight a significant shift in the company's operational model, aiming to solidify its leadership in the fast-evolving food delivery market.