China-based Kuaishou is looking to lay off 30% of its staff, starting with employees in the short video firm’s international business unit, according to a report by KrAsia.
The company’s reorganization comes amid a widening clampdown on Chinese internet firms, which led to a nearly 12% decline in Kuaishou’s shares in August. Its stock plummeted after People’s Daily, the official newspaper of the Chinese Communist Party, said in a commentary that Beijing should step up oversight of online platforms.
Kuaishou will reportedly let go of mid-level employees with an annual salary of 1 million yuan (US$157,000) or above.
Recently, the company posted a 33.4% jump in revenue, climbing to 20.5 billion yuan (US$3.2 billion) in the third quarter of 2021. The increase was mainly driven by a 76.5% lift in its revenue from online marketing, which stood at US$1.7 billion for the quarter.
See also: China’s link-blocking ban: panacea or Pandora’s box?
Currency converted from Chinese yuan to US dollar: US$1 = 6.37 yuan.
Editing by Miguel Cordon and Lorenzo Kyle Subido
(And yes, we’re serious about ethics and transparency. More information here.)
Stay updated on the go with our mobile app.
Get latest insights with smoother, more personalized experience through TIA mobile app.
