Ruangguru, the Indonesian edtech startup, has laid off hundreds of employees due to “the drastically worsening global market situation,” the company told Tech in Asia.
Ruangguru’s Brain Academy / Photo credit: Ruangguru
A Ruangguru spokesperson said that in accordance with local regulations, all affected staff will receive severance pay, long-service pay, and compensation for remaining leave days.
In addition, it will help laid-off employees to find new jobs by allocating a special Ruangguru recruitment team, as well as providing career consulting and psychological support.
According to the company, the job cuts will not affect its services.
“Ruangguru remains optimistic about the prospects, opportunities, and unique position that Ruangguru has to continue to provide access to quality education services for all,” the spokesperson says.
See also: Tracking layoffs across Asia’s startup ecosystem
This is the latest in a string of layoffs that hit Indonesian startups this year. Tech giant GoTo Group has also announced that it will lay off 1,300 of its employees. In the edtech sector, Ruangguru’s peers Zenius and Pahamify have previously taken similar steps, citing the current macroeconomic conditions.
Ruangguru has raised a total of US$205 million in funding to date. In July, the firm acquired education startups Schoters and Kalananti, adding international learning and coding to its services.
Editing by Putra Muskita and Eileen C. Ang
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