JD.com Inc (NASDAQ:JD) shares are trading higher Thursday. Here’s a look at what’s going on.
What To Know: According to a Bloomberg report, citing a statement on the company’s WeChat account, JD plans to nearly double the salaries of its “front-line staff,” including procurement, sales and other employees in similar departments. Retail staff will also see their salaries bumped up by at least 20% on average.
JD was once China’s second-largest online retailer by value after Alibaba Group Holdings Ltd (NYSE:BABA), but it has been battling increasing competition in recent years.
The report indicates JD’s founder Richard Liu recently called for changes at JD in response to internal issues at the company flagged by an employee post. The company reportedly spent about $3.6 billion on human resource expenses last quarter.
JD has lowered prices and offered discounts this year to try to boost sales following mixed performance in the wake of the pandemic. The China-based e-commerce giant turned in stronger-than-expected revenue growth last quarter and e-commerce sales growth is expected to improve gradually throughout 2024.
JD shares also appear to be moving higher alongside several Chinese names following reports suggesting China’s central bank has agreed to continue to ramp up financial support for enterprises to help support the economy.
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JD Price Action: JD shares were up 3.01% at $28.59 at the time of publication, according to Benzinga Pro.
Photo: 3844328 from Pixabay.
