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Ecommerce giant Shopee has laid off around 200 employees in Indonesia, mostly from the customer services team, Tech in Asia has learned.
In a statement, a spokesperson said the decision is aimed at improving Shopee Indonesia’s operational efficiency.
The firm added that affected staff will receive severance pay in accordance with the country’s regulations, including a one-month salary bonus and access to health insurance for up to three months after their last working day. Axed Muslim employees will also get religious holiday allowance.
The news comes after Shopee recorded its first-ever profitable quarter in Q4 2022, with US$196.1 million in adjusted EBITDA. Currently, it still ranks no. 1 in Indonesia in terms of monthly active users on both Apple Store and Google Play, according to Data.ai.
In 2022, Sea Group retrenched about 7,000 employees as part of its cost-cutting measures.
Update (March 9, 6:45 p.m.): This article was updated to include information on the number of employees affected.
See also: Shopee rights the ship – for now
Editing by Thu Huong Le and Lorenzo Kyle Subido
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