Quek Siu Rui, the CEO and co-founder of Carousell, said the company will let go of 110 employees – or about 10% of its total headcount – as the company aims for profitability.
Photo credit: Carousell
In a note to employees, Quek said that he had been “too optimistic” about the pace of the firm’s impact compared to its “increase in investments.” He said the company’s expenses and hiring efforts increased quickly, but returns “took longer than expected.”
The CEO also noted that the bleak macroeconomic situation at present did not aid Carousell’s growth efforts.
Carousell will be offering a month of salary to affected employees for every year of service, with at least three months of compensation. It will also allow them to encash paid off-time and extend medical and insurance benefits up to June 30, 2023, among other things.
The development follows Carousell posting a revenue of US$49.5 million in 2021. It marks a year-on-year growth of 21.8% – a far cry from the firm’s revenue in 2020, which was triple what it earned in 2019.
See also: Carousell posts $49.5m in revenue in 2021 as growth slows
Below is Quek’s note to employees.
Editing by Arpit Nayak
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