ByteDance, the father or mother firm of TikTok and Douyin, will finish the Lunar New Yr custom of giving crimson packets to staff from 2026, however will broaden medical insurance coverage for workers, based on an inside letter despatched to staff on Friday and seen by the South China Morning Submit.
The change is supposed to kind out variations between “incentives” and “welfare”, based on the letter.
The crimson packet, or “fortunate cash”, custom began in 2017 and have become a common perk for all ByteDance staff. The Beijing-based firm will nonetheless situation them this 12 months, in quantities starting from lots of to 1000’s of yuan for every worker primarily based on tenure.
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ByteDance didn’t instantly reply to a request for remark.
In the meantime, the corporate has launched measures to extend incentives for high-performance staff, with year-end bonuses that will embody each money and inventory choices, as outlined in a separate incentive plan launched in January 2024.
The Douyin emblem, the Chinese language counterpart of TikTok, seen on a ByteDance workplace constructing in Beijing, January 18, 2025. Picture: EPA-EFE alt=The Douyin emblem, the Chinese language counterpart of TikTok, seen on a ByteDance workplace constructing in Beijing, January 18, 2025. Picture: EPA-EFE>
The brand new advantages bundle contains improved medical insurance coverage, with entry to premium medical care in common public hospitals, in addition to increased reimbursement charges and higher dental care, together with 300 yuan (US$40) for tooth cleansing. Workers can even get free flu vaccinations for his or her kids.
It provides advantages to the earlier bundle that coated primary dental insurance coverage and baby medical insurance coverage.
The brand new ByteDance advantages additionally embody partial protection for exterior health club memberships, and a shift in the direction of providing more healthy snacks – reminiscent of nuts, fruit and yogurt – relying on the situation of the workplace.
Concerning festive presents, the corporate will proceed its custom of providing present packing containers for worker anniversaries and the Lunar New Yr however will cease handing out presents for the Dragon Boat and Mid-Autumn festivals. The 2025 Lunar New Yr present field, despatched out in December, included objects like a calendar and an Insta360 Movement Professional smartphone stabiliser.
China’s tech business, as soon as pushed by excessive salaries, has been adjusting compensation methods amid slowing progress. Human assets consultants and several other ByteDance staff instructed the Submit that the improved medical insurance coverage advantages are way more sensible and valued than the present packing containers.
