A Boss With Benefits: Alibaba Responds To China’s Rising Inflation
Chinese B2B e-commerce group Alibaba has announced plans to launch a CNY3 billion housing loan scheme for its employees and a CNY500 million education fund to solve the preschool and primary education problems of children of its employees.
Meanwhile, considering the pressure brought by Chinese commodity price increases and fast inflation rise, the group will give over CNY40 million in one-time subsidiaries to its junior staff.
Peng Lei, chief human resources officer of Alibaba Group, told local media that over the past 12 years, Alibaba’s most valuable resources have been its clients and employees. While creating value for customers, many employees have started bearing more family and social pressure with the fast rise in prices in China. Alibaba Group therefore aims to provide a better life to its employee and their families.
Starting from September 1, 2011, Alibaba will launch a housing loan scheme named iHome, which plans to offer CNY3 billion in interest-free housing loans to employees. Those Chinese mainland employees who serve the group for at least two years and plan to buy their first apartment in their working location can apply for the loans. Employees working for the group between two and three years can apply for a loan up to CNY200,000; and those working more than three years can apply for up to CNY300,000.
At the same time, Alibaba Group will invest CNY500 million to set up an education fund, which will be used for education facilities construction and cooperation with related education organizations. The group will cooperate with local schools in Hangzhou to help solve the preschool and primary education problems of children of its employees.