Chinaโ€™s largest search engine Baidu and ride-hailing platform Didi have beefed up their anti-graft campaigns, dismissing more than 40 employees and reporting wrongdoings to the police.

Why it matters: Increasing numbers of Chinese tech firms have launched anti-corruption campaigns as they seek to mimic the Chinese stateโ€™s approach to misconduct.

  • Since 2013, Chinese president Xi Jinping has led an extensive crackdown on corruption that has targeted everyone from members of the government to corporate figures.
  • Apart from Didi, companies including lifestyle services giant Meituan, dronemaker DJI, e-commerce company JD, and used-car trading platform Guazi have sought to weed out graft from within their ranks.

โ€œAny employee who violates the law will not be tolerated. Serious cases will be sent to the public security department.โ€ โ€”Baidu wrote in a leaked email last week. The company confirmed the authenticity of the email to TechNode on Monday.

Details: Baidu dismissed 14 employees that were allegedly involved in 12 cases of internal corruption, the company said in its email. Allegations include bribery and infringing on trade secrets, among others.

  • Meanwhile, Didi laid off 30 members of staff for their alleged involvement in bribery and collusion during the first half of 2019, according to a statement on popular messaging app WeChat.
  • In one case, a service consultant helped drivers that did not meet the companyโ€™s requirements register on the platform.
  • Employees from both Didi and Baidu fabricated expenses for reimbursements, the companies said.

Context: To encourage honest work, JD earlier this year went as far as sending employees on a prison tour in Beijing.

  • Didi employees were involved in 60 cases of corruption in 2018, the company said in January.
  • Drone maker DJI made headlines this year after it announced it was investigating 45 employees for graft. The company said it could lose as much as $150 million from cases of internal fraud.
  • Alibaba, Tencent, and Xiaomi have launched similar investigations.
  • Chinese telecommunications giant Huawei is also not immune. In 2017, the companyโ€™s executive vice president of its consumer business group in Greater China was investigated for accepting bribes.

Christopher Udemans is TechNode's former Shanghai-based data and graphics reporter. He covered Chinese artificial intelligence, mobility, cleantech, and cybersecurity.

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