Lazada's unexpected layoff leave employees in shock and frustration, says it also caused anxiety

As Lazada employees returned to the office at the start of the new year, an unusual atmosphere gripped the workplace. All meeting rooms were fully booked, back-to-back, signalling something out of the ordinary.

According to a report by CAN, some received last-minute meeting invitations, mere hours before the distressing sessions where they were informed of their job loss. For a few, this abrupt notice disrupted their planned leave, compelling them to rush back for these unexpected meetings.

Several employees, particularly on Wednesday (Jan 3), were caught off guard and found themselves in tears. According to individuals who spoke anonymously to CNA, the process of downsizing, initiated on Wednesday morning at Lazada's regional headquarters in Singapore, was described as "unfair," "unclear," and "perplexing." 

These terms reflect the anxiety and rampant speculation among colleagues due to the lack of transparency.

It is understood that the retrenchment process is ongoing. While many approached by media declined to comment, those interviewed estimated that nearly a hundred employees have already received news of their retrenchment. The affected individuals hail from various departments across the company.

Media reports also suggest significant workforce reductions within specific departments, with staff numbers dwindling drastically from around 20 to 30 individuals to just four or five employees in some cases.

Despite attempts to seek clarification from Lazada Singapore regarding the retrenchment, responses have been limited. According to CAN, a company spokesperson, in a statement on Wednesday evening, mentioned a proactive initiative to restructure the workforce for improved adaptability and efficiency aligned with future business requirements.

The spokesperson highlighted Lazada's continual evolution for sustainable growth, emphasising the need to reassess workforce needs and operational structures.

However, specific details concerning the extent and reasons for this round of layoffs remain elusive. An estimate from an employee pegs Lazada's Singapore staff count at approximately 8,000 to 10,000, including the logistics team.