In a move that could further shake up the intensely competitive food delivery landscape, JD.com’s CEO, Xu Ran, has unveiled impressive income figures for the company’s delivery riders, particularly those operating in China’s Tier 1 cities.
Specifically, Xu disclosed that full-time delivery riders in Beijing, Shanghai, Guangzhou, and Shenzhen are now averaging almost RMB 13,000 per month. This figure represents a significant jump for these workers, particularly when compared to their earnings prior to joining JD.com. The CEO emphasized this increase comes despite the company providing benefits, including social insurance and housing funds (the “five insurances and one fund”).
This announcement arrives amidst a period of rapid expansion for JD.com’s delivery arm. The company’s full-time delivery rider workforce has already exceeded 120,000 and is projected to surpass 150,000 by the end of the current quarter.
The growth is fueled by surging order volumes. Just over a hundred days after its launch, the delivery service is already processing over 25 million orders daily, a volume which the company says has exceeded expectations. JD.com entered the food delivery sector, identifying several pain points across the businesses, consumers, and riders and has expressed its commitment to fostering sustainable growth within the industry.
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