Business

About 15% Of Staff To Be Laid Off By Didi, China’s Ride-Hailing Giant

Didi Chuxing will lay off its 15% of his staff, or about 2000 people, this year, according to a source, who marks the first major reduction of the group, which is faced with regulatory oversight and public response to the murder of two of its members.

Cheng Wei, Didi CEO said at a meeting with the board that the company will focus on 2019, according to the source, on basic mobility services and divisions that are not essential to its core business. The Chinese ride-hailing giant, however, will release more than 2,000 employees in the field of security technology, product engineering and international from the service to maintain the total number of employees, the source added anonymously as the information is not yet public.

A spokesman for Didi declined to comment on the information about possible job losses at the company began to appear at the end of January. Didi sought concerns over consumer and government safety after one of his drivers raped and killed a passenger in August last year, about three months after the killing of another driver Didi. A Chinese court has made a verdict of death to man for the crime done in August.

Security issues have hampered Didi’s growth plans. Didi, who managed to chase its American rival Uber in China in 2016, became the first player in the country to play at home and now faces financial difficulties due to novice competition and the rise of energy-sharing motorcycle services, such as Mobike. The Chinese tech news website reported this week that Didi Chuxing lost 10.9 billion yuan in 2018.

Didi’s valuation was more than $65 Billion after raising funds in 2018 and was scheduled to be public this year, Reuters reported. The private company was valued at $ 56 billion in 2017 in a fundraising campaign.

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Eugene Lawhorn

Eugene Lawhorn

When it comes to Science, Eugene is the one who comes in mind. Eugene carries more than 7 years of experience and has a Degree in Astronomy. He is well aware of all the facts about the Science domain and hence is capable of leading the department fruitfully. In his free time, Eugene is seen having a peaceful time with his pet dog along the beach.

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