Second round of layoffs from logistics firm in three months
Logistics firm Ninja Van has carried out a new round of layoffs in Singapore, according to reports, just months after it retrenched 10% of its staff ahead of May Day.
The latest round of layoffs will see five per cent of Ninja Van's workforce in Singapore cut, The Straits Times reported.
A spokesperson from the logistics firm attributed the reduction to the company's expansion into business-to-business restocking and cold chain logistics.
"In line with the group's direction, we have reviewed the roles within the organisation to assess their alignment with our future needs," the spokesperson told The Straits Times. "Unfortunately, despite our efforts to minimise impact, we were unable to avoid layoffs impacting five per cent of our colleagues in Singapore."
No further details about the employees affected were provided, according to the reports, but those with transferrable skills were redeployed to the company's new segments.
Those getting cut will receive a "reasonable severance package," Channel News Asia reported. This includes a month's worth of severance pay per full year of employment as well as garden leave until their last day at work, which was undisclosed to the public.
The company will also provide career transition support, the reports added. This includes curriculum vitae reviews and interview training.
Their medical insurance and mental health support have also been extended until the end of the year, while their access to company chat and office access will be retained amid the transition.
Ninja Van's latest round of layoffs come after it retrenched about 10% of its tech team in Singapore last April 30, just a day before May Day.
"We understand that companies need to undergo restructuring exercises from time to time, but they should be considerate about the timing of such exercises and avoid doing exercises during such periods," said the National Trades Union Congress (NTUC) in a statement.
The NTUC also previously underscored the importance of openness, transparency, and consultation with unions and workers in the event of retrenchments.
In Singapore's there were 3,000 retrenchments recorded by the Ministry of Manpower in the first quarter of 2024, with the leading causes being business reorganisation or restructuring.
