Daraz also adds to the wave of tech layoffs. He marketplace of the Chinese giant Alibaba has announced that it will lay off 11,000 employees, which translates into an 11% cut in its workforce.
In a ACrtto sent to employees Bjarke Mikkelsen, CEO of Darazhas explained that the decision has been taken to deal with the “current market reality and ensuring that Daraz thrives in the long term”. “We also have to continue to invest in our future, and to do that, we must stop any investment that is not aligned with our strategy. We need to double down on product innovation on our platforms, as well as our own internal productivity. We can’t make these investments if we don’t make some tough decisions now.”has declared the CEO.
“Over the past five years we have been following our long-term business plan and have grown our active buyers from 3 million in 2018 to over 15 million today, with average order growth of nearly 100% year-to-date. past”has underlined mikkelsenHowever, in the last 12 months, he has regretted, “The market environment has changed and become extremely difficult with a war in Europe, huge supply chain disruptions, runaway inflation, increased taxes and the removal of essential government subsidies in our markets”.
“To weather the storm, we must collectively do everything we can to improve profitability and save costs. This includes refocusing on core business, simplifying the organization and doing more with less across all departments.”has apostilled.
With Daraz, Ranking Third Among Latest Global Firms To Lay Off Employees, Tsunami Of Layoffs Infects Pakistani Companies; as the Alibaba marketplace operates in Pakistan, Bangladesh, Sri Lanka and Nepal. In the last two years, Daraz has invested 100 million dollars in Pakistan and Bangladesh.
More than 100,000 layoffs so far this year
More and more technology companies are announcing job cuts. Only Amazon (18,000 layoffs), Microsoft (10,000) and Alphabet, Google’s parent company, (12,000), have accumulated the dismissal of 40,000 employees so far this year. Also, Meta, the parent company of Facebook, announced 11,000 layoffs in November of last year, which affected 13% of its workforce. Now, as the Financial Timesthe parent company of Facebook, Instagram and WhatsApp, would be considering a new batch of layoffs. Goal led by Mark Zuckerberg would be delaying the elaboration of the budgets of several teams because of a new ‘snip’ scheduled for next March.
In total, the specialized portal layoffs estimates that, so far in 2023, they have already said goodbye 104,557 people in 356 technology companies globally. In the whole of last year 2022, a whopping 160,097 people were laid off from 1,045 technology companies.