On July 3rd, rumors of a 30-year-old female employee of China International Capital Corporation (CICC) jumping off a building due to being unable to pay off her mortgage after a salary cut went viral on Weibo. CICC responded by acknowledging the employee’s passing in Shanghai but denying the suicide rumor.
According to online reports, the employee named Zheng Wenlu supposedly jumped off a building in Shanghai on July 1st due to financial pressure from a salary reduction at the company. It was said that Zheng Wenlu, born in 1994, a graduate of Zhejiang University, was working in general securities business.
Screenshots circulating online showed that Zheng Wenlu had purchased a property on the Bund in Shanghai for over ten million yuan last year. Some netizens mentioned that her husband also experienced a salary cut. Zheng Wenlu began to show signs of mental distress in March and tragically fell to her death on Monday, July 1st.
On the afternoon of July 3rd, CICC responded by expressing deep sorrow over the unexpected loss of their employee in Shanghai and stated that they had set up a special team to handle the situation properly and support the employee’s family and friends.
CICC also appealed, “Regarding the rumor of our employee jumping off a building, we hope everyone respects the privacy of the deceased, does not believe or spread rumors.”
According to informed sources cited by China Newsweek, the employee involved in the incident was only 30 years old and worked in the FICC department of CICC in Shanghai.
In recent years, with the continuous decline of the Chinese economy, rumors of salary reductions in the financial industry have been persistent.
In April, Reuters reported, citing three anonymous sources, that CICC had significantly cut staff salaries with a reduction of up to 25%, affecting over 2000 individuals.
In May, Economic Observer quoted informed sources stating that Citic Securities would reduce salaries by 20% this year; Citic Construction had already cut salaries by approximately 20% earlier and was planning another reduction. Employees at Zhongyuan Securities and Guotai Junan had salary cuts exceeding 10%.
In the banking sector, First Financial quoted data in April indicating an average 13% salary cut for bank management, with executives at Ping An Bank experiencing over a 40% reduction; executives at China Merchants Bank and Minsheng Bank had reductions exceeding 30%; executives at Chongqing Bank, Yunong Commercial Bank, Postal Savings Bank, Industrial and Commercial Bank of China, and Everbright Bank also faced cuts exceeding 10%.
On July 1st, Reuters quoted informed sources that employees at China Construction Bank’s headquarters were facing at least a 10% salary reduction.