'Now, the only ones left are senior management,' says retrenched employee
E-commerce platform Qoo10 has reportedly laid off more than 80% of its workforce, leaving only "senior management" in its Singapore offices.
Former employees of the platform told Mediacorp that 90 out of 110 employees in Singapore have been laid off.
"Now, the only ones left are senior management," a former employee told the news outlet.
According to retrenched employees, the first round of layoffs began on August 13, affecting Singapore citizens and three foreigners.
No benefits were offered to the employees impacted by the layoffs due to the organisation's lack of funds, the Mediacorp sources added, as reported by The Independent Singapore.
One former employee described the two-storey Singapore office as "full of empty desks," with fewer than 10 people present.
The only ones left were staff members essential for maintaining the daily operations of the platform, which remains operational despite the massive downsizing, according to the reports.
Singapore's Ministry of Manpower said it is closely monitoring the situation at the e-commerce platform.
The labour movement has also assured it will offer support to affected employees if needed, despite the organisation not being part of its unions.
The layoffs came at the Singapore office after two e-commerce platforms owned by Qoo10 failed to pay their vendors in South Korea since May, Yonhap News Agency reported.
Ku Young-bae, founder and CEO of Qoo10, said the company used the funds from the two platforms to acquire the online shopping platform Wish. He stressed, however, that payment has been returned.
The CEO apologised for the delayed payments and said Qoo10 would secure emergency liquidity from overseas funds, dispose of assets and stakes, or use them as collateral, The Straits Times reported.
He even pledged to "sell or use" his entire stake in Qoo10 as "collateral and use it to resolve this situation."
