Lazada cuts about 5% of workforce as part of review across South-east Asia markets
The layoffs are not due to any AI initiatives, BT understands
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[SINGAPORE] E-commerce platform Lazada said on Tuesday (Jun 23) that it has laid off some of its workforce after reviewing certain roles in its regional markets.
The Business Times understands that this affects about 5 per cent of Lazada’s workforce across South-east Asia.
Lazada did not disclose which roles were affected, though it said that the review was based on business needs, role requirements and organisational efficiency.
BT understands that the cuts are not part of any artificial intelligence initiatives.
Lazada is in six South-east Asia markets: Singapore, Malaysia, Thailand, Indonesia, Vietnam and the Philippines.
Affected employees will be treated in line with applicable requirements in the respective markets, said the e-commerce platform.
In Singapore, Lazada said it will be working with the Food, Drinks and Allied Workers Union (FDAWU) to “ensure that the process is handled responsibly and support is accorded to affected employees”. In other markets, the company is working with relevant government entities and agencies.
Lazada informed FDAWU in advance of the restructuring exercise, said general secretary Sankaradass S Chami. This enables the union to “work closely” with Lazada management to support affected employees through the transition.
Affected union members will get a year of union membership and training grant support.
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Sankaradass said: “The union will also work with the company to ensure the exercise is conducted responsibly, in accordance with the Tripartite Advisory on Managing Excess Manpower and Responsible Retrenchment and NTUC’s Fair Retrenchment Framework.”
Lazada’s latest move follows layoffs at e-commerce rival Shopee earlier in June, cutting hundreds of developers. Shopee cut about 8 per cent of its developer workforce.
Lazada last laid off employees in January 2024, when both senior and junior workers across local and regional roles were impacted.
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