DIDI Global Inc. is helping workers establish their first union, a groundbreaking decision its fellow tech giants may soon follow as China imposes rules to curb excessive work and protect millions of blue-collar workers from exploitation.

The Beijing-based ride-hailing giant announced the creation of the union on an internal forum last week without specifics, according to people familiar with the matter. Didi drivers — mostly part-time and lacking full employee benefits — will likely be invited to join, one of the people said, requesting anonymity discussing private information. Peers including food delivery leader Meituan are also studying the feasibility of internal labor rights organizations, another person said. And employees from Alibaba Group Holding Ltd. have posted calls for the formation of a union on their own company forum, a third person said.

Tech giants like Didi are responding to regulators’ demands that sharing-economy behemoths improve the welfare of millions of low-wage workers they depend on to power growth. That stems from President Xi Jinping’s “common prosperity” campaign to get the private sector to share the enormous wealth accumulated during a decade-long internet boom, while reining in their growing influence.

While embryonic — and a reversal of the usual bottom-up process of change — support for effective unions marks a significant step for China’s hard-charging tech industry.

(SD-Agencies)