Indonesia’s Moladin lays off 360 workers

The Moladin team / Photo credit: Moladin

Moladin, a used-car marketplace based in Indonesia, has laid off 11% of its workforce or around 360 employees.

In a statement received by Tech in Asia Indonesia, Moladin said the “difficult” decision was made to improve its long-term sustainability.

The firm said it would make sure affected employees receive fair compensation under applicable laws.

“We will also be extending medical benefits until the end of May 2023 as well as outplacement support to help our affected employees tide through this period,” the company added.

See also: Moladin was ‘almost dead.’ Then it pivoted to used cars – and raised $137m

Founded in 2017, Moladin initially sold both used and new motorbikes. However, it pivoted into the used-car industry in 2021, which led to its transaction volume climbing more than 20x over a few months.

Within less than four months last year, Moladin raised US$137 million across two rounds from investors such as East Ventures, Sequoia Capital, and Northstar Group. It was valued at US$765 million in its latest fundraise.

A RevoU report showed that Moladin had the highest employee count growth among local tech companies, reaching 567% from May 2021 to May 2022.

A version of this article was originally published by Mujahid Fidinillah on Tech in Asia Indonesia.