SINGAPORE – Regional e-commerce company Lazada has retrenched 5 per cent of its workforce in South-east Asia, including an undisclosed number of staff in Singapore, according to a source familiar with the matter.
When contacted, a Lazada spokesperson said on June 23 that the company is “reviewing selected roles across South-east Asia”.
“Where roles are affected, employees will be engaged directly and with care, respect and dignity,” the spokesperson told The Straits Times.
“We are committed to supporting affected employees through the transition with relevant guidance and support, in line with applicable requirements.”
This comes after Lazada’s e-commerce rival Shopee axed hundreds of developer jobs globally earlier in June. In early May, Amazon also announced job cuts in Singapore as the e-commerce giant shifted its focus from local grocery fulfilment to international product shipments.
Online chatter surfaced about two weeks ago when a Reddit user commented about Lazada’s impending job cuts in a forum that discusses recent layoffs and workplace culture in Singapore.
ST understands that affected Lazada employees were notified on June 23, with its human resources team engaging them directly. Its staff in Singapore are based in the Lazada One office at Bras Basah Road.
Lazada said it is working closely with the Food, Drinks and Allied Workers Union (FDAWU) to ensure support is rendered for affected employees and for the process to be “handled responsibly”.
Lazada previously laid off an undisclosed number of staff in January 2024 without consulting the FDAWU, which it is unionised under. The union had expressed its disappointment then, and the matter was escalated to the Ministry of Manpower (MOM).
The FDAWU then negotiated improved retrenchment benefits for the laid-off employees, who had initially been offered two weeks’ salary for each year of service – a figure below industry norms. MOM facilitated the discussions between the union and Lazada. Affected employees were notified months later that some would receive an extra two weeks’ pay per year of service, while others would get a training support of $1,200.
A round of layoffs had also been conducted in October 2023.
Lazada’s 2024 job cuts turned the spotlight on the company, increasing speculation about a potential initial public offering for its parent business unit that year. It came amid growing competition in South-east Asia’s e-commerce landscape.
Postings on professional networking platform LinkedIn suggest Lazada has about 760 employees in Singapore. A June 23 check by ST on job openings on the platform shows at least 10 roles in Bangkok, Manila and the Philippines. A job opening for Singapore was posted a month ago. On the Lazada website, however, no job openings can be found.
Founded in 2012, Lazada, which became a subsidiary of Chinese tech giant Alibaba Group Holding in 2016, has a presence in Singapore, Indonesia, Malaysia, the Philippines, Thailand and Vietnam.
Lazada recently marked its 14th anniversary with a birthday sale, its first major regional campaign for 2026. The platform’s use of AI features has become more apparent as they are integrated into product pages.
