Glints gained doubled growth in 2021. However, the markets have changed drastically over the six months, resulting in job cuts.
Heaptalk, Jakarta — A career development platform based in Singapore, Glints, announced the layoff of nearly 18% of the total staff, adding to a wave of layoffs at startups (12/06). The percentage equals 198 out of 1,100 employees affected by the job cuts.
According to the co-founder Oswald Yeo, the layoff decision is taken based on market conditions and business priorities as cited by Tech in Asia. Previously, the firm took several measures to streamline the costs, spanning a hiring freeze, reducing perks and expenses, as well as voluntary pay cuts for the management team including the founders.
“Layoffs are always a last resort, but in order to adapt to the bear market and strengthen the resilience of our business, we must restructure and operate as efficiently and lean as possible,” said Oswald in a statement.
Oswald delivered that 2021 was a year of solid growth as the company doubled down on the tech sector as well as on remote hiring and expansion into new markets, including the Philippines.
However, the markets have changed drastically over the six months. Oswald delivered, “With market uncertainty, consumers are spending less, and businesses serving these consumers are also affected.” The condition affected Glints’ business and led to a downturn in its overall business growth in the short term.
Completed series D round of US$50 million in August
Further, Glints claimed that it will be providing the impacted employees a month’s salary for every year of service. The company will also offer leave encashment as well as healthcare, learning, and development benefits until the end of March 2023. It will help the retrenched employees in searching for job opportunities.
Founded in 2013 by Oswald Yeo, Looi Qin En, and Seah Ying Cong, Glints completed a series D round led by Lavender Hill Capital with US$50 million raised in August 2022. In the same month, the company stated that its annual revenue and gross profits grew 2.5 times over the past twelve months.
Oswald said that the company will continue to invest in its long-term vision. “The crisis has given us, as founders, the opportunity for self-reflection and to learn from our mistakes. This downturn has forced us to take a hard look at ourselves and our business and to return to our core principles,” concluded Oswald.
