SiCepat apologizes for wrongful layoff procedure

SiCepat, an Indonesia-based logistics firm, has said that there was a wrongful procedure in its recent layoff of 366 employees. The company also apologized about the process on its social media accounts.

Photo credit: SiCepat

The statement was released after a viral post mentioned that there were hundreds of SiCepat courier staff that were being laid off. However, instead of dismissal letters, the company gave them resignation letters. The post said that the move was an effort from the company to avoid the responsibility to fulfill severance pays and other employee rights.

A representative from SiCepat explained that while the employee dismissal had taken place, it should have only affected employees “with problems.” She also mentioned that the company implemented an employee cut policy twice a year to maintain its process quality.

“The employees that were laid off were only 0.6% from our total employees that reached 60,000 people,” she added.

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Founded in 2014, SiCepat handles package deliveries across Indonesia. In the last two years, it raised US$170 million in investments, and it also has plans to go public in the near future. It counts Falcon House Partners, Indies Capital, Kejora Capital, Pavilion Capital, and MDI Ventures as its investors.