(Yicai Global) Aug. 26 -- 58.Com, China's Craigslist-like classifieds platform, will lay off or demote 10 percent of its executives up to and including vice president level before the end of the year, according to its chief executive.
"I mentioned at the annual meeting at the beginning of this year that we won't downsize," Yao Jinbo said in an internal letter, The Paper reported. "But that didn't mean we won't eliminate or replace employees."
Founded in 2005, the Beijing-based internet company's business covers recruitment, real estate, cars, secondhand goods, local life services, finance and other areas. It has a large number of vice presidents, public information shows.
Today's internet is a competitive market environment, which means that 58.Com needs not only survive but also provide services in the long term, Yao said. "We need to be more responsive and proactive in finding and defining competitors, rather than waiting for others to find and challenge us," he said.
In the second quarter, the company's revenue rose nearly 21 percent from the previous year to CNY4.1 billion (USD601.4 million).
58.Com went public in October 2013. Its shares [NYSE:WUBA] fell 1.8 percent to close at USD52.05 each on Aug. 23.
Editor: Emmi Laine