Shopee starts massive layoff, shuts operation in Spain - PingWest

Shopee starts massive layoff, shuts operation in Spain

Shopee starts massive layoff, shuts operation in Spain

Rebbeca Ren

posted on 6 hours ago

The Southeast Asian e-commerce giant is scaling back its global expansion.

Shopee, the e-commerce platform owned by Singapore-headquartered tech giant Sea Limited, is said to be preparing to start mass lay off across its international operations, particularly in Southeast Asia.

Employees of Shopee's food delivery and digital payment businesses in several markets will be affected. The decision was announced to employees in an international town hall meeting led by an executive from Sea.

Nearly half of ShopeePay and ShopeeFood workers in Thailand have been affected, and Shopee is asking them to go back home and await an email explaining their termination, according to DealStreetAsia.

In addition to the layoffs, the e-commerce division also stated it will cease operations in Spain.

"We regret to inform you that Shopee.es will stop operating from 11:59 pm on June 17, 2022. All orders received up to that date will be processed as usual and aftersales service and support will continue to be available to all users who have made purchases on our platform. We are very grateful for all the support and confidence received, and we apologize in advance for any inconvenience this may cause," the company wrote in an announcement to users.

The withdrawal of the Spanish operations comes a few months after Shopee closed its French operations. 

Last year, propelled by the loose monetary policy and COVID-fueled e-commerce boom, Shopee, which is regarded as the top player in Southeast Asia, started aggressive global expansion. To fund the expansion, its parent company raised $6.3 billion in an equity and convertible bond sale in September 2021.