E-commerce group JD.com plans to cut 10 per cent of high-level executive jobs this year, as it struggles with sluggish sales in the wake of a slowing Chinese economy.
“The move is part of our restructuring strategy to run a bigger company with a smaller team,” a JD.com spokesman told the Nikkei Asian Review on Tuesday. “We believe this will help streamline operations and boost efficiency.” The plan was unveiled at an internal conference last weekend, the Japanese media outlet says.
The company has investment by US-based Walmart, Alphabet Inc, Google and China’s Tencent Holdings.
In November, JD.com reported its slowest quarter revenue growth since its initial public offering in 2014, reporting revenue of CNY 104.8 billion (USD 15.5 billion) for the quarter ended 30 September, falling short of analyst estimates.
The company also struggled to recover from reputational damage last year when Richard Liu, its founder and CEO, was arrested on a rape allegation in the US which were subsequently dropped.