Alibaba and Amazon borrow furloughed service workers

Cross-industry arrangements ease unemployment pain as pandemic skews labor markets

20200503N Alibaba Hema

The coronavirus pandemic sent demand skyrocketing at grocery stores such as Alibaba's Hema Xiansheng chain. © Reuters

MOTOKAZU MATSUI, MARIKO HIRANO and HIKARIKO YAZAKI, Nikkei staff writers

TOKYO -- Online retailers and delivery companies seeing a sudden spike in demand from homebound consumers are borrowing workers from industries battered by the coronavirus pandemic in unusual partnerships that could help ease the pain of unemployment crises.

China, where the virus originated, has been a pioneer. Alibaba Group Holding-owned supermarket operator Hema Xiansheng in February began hiring furloughed employees from 40-plus businesses, including restaurants and taxi companies. This initiative reportedly added more than 5,000 delivery drivers to Hema's ranks.

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