Indonesia’s Zenius lays off employees again, almost all divisions hit

For the second time this year, Indonesian edtech startup Zenius is laying off employees due to the tough macroeconomic environment and consumer behavior. The move will affect almost all divisions.

Zenius says it is realigning and reprioritizing the organization to ensure sustainability and long-term growth.

“To respond to these changes, all aspects of the business are being optimized to improve efficiency, and this will include a reduction in workforce,” says a Zenius spokesperson in a statement provided to Tech in Asia.

Zenius did not specify how many employees were affected in this round of layoffs. In its previous layoff last May, about 200 employees were affected – 20% of the 900-plus workforce at the time.

Photo credit: Zenius

In the statement, Zenius CEO Rohan Monga said the company will increase focus on its hybrid learning experience through its new Primagama network, an Indonesian offline tutoring services it acquired in February.

“With this realignment, we will be reducing expenses in some areas,” Monga continues. He also mentions that the Covid-19 pandemic has led to “changing needs” among customers.

See also: Tracking layoffs across Asia’s startup ecosystem

Those affected will be eligible for severance payments as per Indonesian laws and regulations. They will also get health insurance benefits and wellness counseling service until 30 September, the company said.

The company will also help the affected employees find new jobs by sharing their profile with other companies or educational institutions with the employees’ consent.

This is the latest in a string of layoffs that have hit employees of Indonesian startups, including Pahamify, Lummo, LinkAja, TaniHub, and SiCepat.

Zenius has raised a total of US$40 million in disclosed funding over four rounds to date. The company’s most recent round, led by MDI Ventures, was closed last March.