Meituan Stock

Meituan becomes the latest Chinese tech major to begin large-scale layoffs. Companies are replacing veteran employees with cheaper new hands.

Chinese food delivery giant Meituan said on Tuesday that it would lower commissions for merchants on its platform, including capping fees for around a million small and medium sized merchants facing operational difficulties at 5% this year.

Meituan faces a profit squeeze as Chinese regulators order platforms to cut fees to help small businesses.