- Carousell’s Laku6 trims workforce by 17% for “long-term success and sustainability”.
- The layoffs come after Carousell’s $25 million investment in the firm.
- Indonesian startups join the layoff bandwagon amid tough economic conditions.
Laku6, the Indonesian electronics recommerce firm acquired by Carousell in 2022, has streamlined its operations by laying off approximately 17% of its workforce in January 2024.
The company spokesperson emphasized that the decision was made to ensure “long-term success and sustainability” after evaluating the ever-changing industry landscape and the company’s growth trajectory.
Carousell’s expansion efforts hit a speed bump
The layoffs at Laku6 come as a surprise, given Carousell’s $25 million investment in the company back in July 2022.
The acquisition, supported by Temasek Holdings’ Heliconia Capital Management, was part of Carousell’s grand plan to expand its presence in the pre-owned phones and electronics market.
Despite Laku6’s impressive track record of processing over half a million mobile phones and serving more than 16,000 merchants, the company finds itself navigating a bumpy road.
Joining the layoff bandwagon
Laku6 isn’t the only Indonesian company feeling the pinch of harsh macroeconomic conditions. Startups like Waresix, Xendit, and Pitik have all hopped on the layoff bandwagon earlier in 2024.
Even Carousell itself couldn’t escape the trend, cutting 10% of its staff in December 2022 as it aimed for profitability.
With pre-tax losses widening and expenses on the rise, it seems that belt-tightening is the new fashion in the tech world.
To read the original article: https://www.techinasia.com/carousells-laku6-lays-30-workforce-january
