Alibaba Group Holding Ltd (NYSE: BABA) Talent Nurturing Initiative Hurts Top-Tier Officials’ Salaries

Over the years, senior executives at Alibaba Group Holding Ltd (NYSE: BABA) have enjoyed pay hikes and stock incentives, but they now have to put up with frozen pay. The Chinese e-commerce giant freezes the top officials’ pay and instead implements salary increases to its junior staff. It explains its move as an effort to nurture and grow its workforce talent. 

Freezing top officials’ salaries

This Hangzhou-based company focuses on cloud computing and e-commerce. It also ventures into areas such as entertainment and logistics. It has over 252,000 workers currently. 

However, the company has encountered many challenges in its business over recent years. One of the things that put this business empire in the spotlight was when Jack Ma made some inflammatory statements ion the country’s regulatory systems. The billionaire’s public remarks continue haunting the company’s business.

The other controversial issue has to do with Alibaba’s continued market dominance. This company has also showcased higher capabilities in shifting public opinion, among other controversies. 

Alibaba’s move hurts hundreds of top-tier officials. The top-tier executives won’t be receiving pay increases for the rest of the year unless the company notes some extraordinary attributes that it will compensate. For example, the top-tier executives who have succeeded in showcasing oustanding performance might continue receiving the pay hikes.

Alibaba and others in the “spotlight.”

China’s mainland has been rather aggressive in most of its undertakings. It’ crackdown has been mainly of the biggest technology companies in the country. It advocates for fair completion practices where every business gets a fighting chance. 

Alibaba hasn’t come out to confirm it will be implanting the freeing move. It has, however, recognized the great role talent plays toward making its business thrive. It also spoke out about its world-class and competitive compensation system and its role in nurturing talent. 

The United States and Europe seem to be scrutinizing China’s biggest technology companies more closely. China’s State Administration for Market Regulation recently disclosed this information, as pressure mounts on Amazon to consider doing something about its market dominance. 

An anti-monopoly probe conducted in April found Alibaba guilty of abusing its market dominance for several years.

Published by Brendan Byrne

While studying economics, Brendan found himself comfortably falling down the rabbit hole of restaurant work, ultimately opening a consulting business and working as a private wine buyer. On a whim, he moved to China, and in his first week following a triumphant pub quiz victory, he found himself bleeding on the floor based on his arrogance. The same man who put him there offered him a job lecturing for the University of Wales in various sister universities throughout the Middle Kingdom. While primarily lecturing in descriptive and comparative statistics, Brendan simultaneously earned an Msc in Banking and International Finance from the University of Wales-Bangor. He's presently doing something he hates, respecting French people. Well, two, his wife and her mother in the lovely town of Antigua, Guatemala. You may contact Brendan via his email ( or his Google+ page (

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