The dream of achieving financial freedom through cross-border e-commerce has turned into a nightmare for many workers in China's southern hub of Guangzhou. A leading cross-border e-commerce company recently implemented mandatory rotational leave policies affecting hundreds, potentially thousands of employees, sparking widespread concern across the industry.
The Hidden Agenda Behind "Rotational Leave"
According to insiders, the Guangzhou-based e-commerce giant began enforcing rotational leave policies starting September 26, with affected employees facing over a month of forced leave until November. During this period, workers reportedly receive only 80% of the local minimum wage—approximately 1,800 yuan ($250) per month.
Industry observers suggest this move effectively serves as disguised layoffs. By implementing rotational leave instead of formal termination procedures, the company avoids substantial severance payments while pressuring employees to resign voluntarily.
The cross-border e-commerce sector faces unprecedented challenges including plummeting order volumes, persistently high shipping costs, and pandemic-related disruptions. With fixed costs like salaries and rent remaining constant, workforce reduction has become a survival strategy for many companies in this labor-intensive industry.
A Series of Cost-Cutting Measures
Internal sources reveal the company began implementing austerity measures as early as August, including mandatory six-day work weeks, delayed performance bonuses, large-scale layoffs, and suspension of benefits such as meal subsidies and attendance bonuses. The annual bonus program was reportedly canceled entirely.
Additional measures included reducing the National Day holiday from seven to four days and modifying annual leave calculation methods—effectively resulting in pay deductions. These policies have created significant employee dissatisfaction and anxiety.
"The company's series of measures have left everyone nervous and demoralized," one employee commented anonymously. Many workers expressed particular frustration with performance evaluation reforms, stating compensation reductions were accompanied by emotional distress.
Survival Strategies for Cross-Border E-Commerce Professionals
As the industry faces continued turbulence, professionals must focus on enhancing their competitiveness. Key strategies include:
- Skill Development: Continuous learning in product selection, digital marketing, operations management, and supply chain optimization is essential to remain relevant.
- Network Expansion: Active participation in industry events helps professionals stay informed about market trends and opportunities.
- Market Awareness: Close monitoring of policy changes and emerging trends enables timely adaptation to industry shifts.
- Resilience Building: Maintaining a positive mindset helps navigate challenging periods and identify growth opportunities.
- Contingency Planning: Developing alternative income streams through side projects or freelance work provides financial security during industry downturns.
The cross-border e-commerce sector continues to undergo significant transformation. For professionals in this field, continuous self-improvement remains the most reliable strategy for weathering current challenges and capitalizing on future opportunities.