(Yicai) July 11 -- Tencent Holdings will evenly split year-end service bonuses and housing subsidies across salary payments in a change to its employee compensation and benefits that is intended to bolster monthly incomes for staff.

The change will take effect with this month’s payroll, which is paid on Aug. 5, the Chinese tech giant said in an email sent to employees and seen by Yicai.

The move was prompted by the changing environment outside of the Shenzhen-based company over the past two years that has increased the need among many employees for immediate and stable cash flow, Tencent said.

The boost to monthly salaries will also raise the baseline for annual performance bonuses, salary adjustments, severance pay, and social welfare insurance payments, an insider familiar with the matter told Yicai.

Tencent had a headcount of 105,416 last year and its payroll stood at CNY107.7 billion (USD14.8 billion), according to the firm’s annual financial report.

The company’s service bonus is related to monthly salaries and the number of years a person has worked there, so it forms part of an employee’s fixed remuneration, Tencent said, adding that in the future it will likely bring back the service bonus as a year-end, performance-based incentive.

New employees joining Tencent after July 1 will not receive a housing subsidy but will instead enjoy more competitive salaries, the firm pointed out.

Editor: Futura Costaglione