Heaptalk, Jakarta — An omnichannel commerce enabler for MSME, SIRCLO Group, announced its efficiency moves for its business operation, impacting a layoff consideration towards 8%, or nearly 160 people of its total employees, effective on Tuesday (11/22). This layoff decision is based on the company’s requisites to adjust to the current macroeconomy conditions.
“As a fast-growing technology company, the startup continues to become adaptive in executing business compliance to achieve the long-term enhancement of its business operations. Amid the uncertain macroeconomy situations, the company has gone through internal evaluations and aims to make the significant transformation, specifically related to the business focus, hoping to retain the company’s sustainability,” The CEO of SIRCLO Group, Brian Marshal, said in the company’s official statement.
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The company claimed this layoff determination would not negatively impact enhancing excellent solutions for the overall SIRCLO consumers. To achieve the company’s business growth in the long-term, the company is currently under the optimization steps for the whole business aspect of Sirclo Group, emphasizing the e-commerce enabler business line-up development, which serves upper-scale clients or is equal to the enterprises’ consumers.
Several business units of SIRCLO Group targeting the Micro, Small, and Medium Enterprises (MSMEs) segment will also focus on essential operational aspects to support the growth of entire service recipient segments within its ecosystem. As a result, the series of this objective is anticipated impact the scale of the company’s organization.
Since its inception, this startup has had a mission to support Indonesian entrepreneurs and individuals to peddle their valuable products on the platform with a high service value. The development of our business ecosystem yearly cannot be separated from the contribution of our employees. For this reason, Sirclo will provide a compensation package following the rights and regulations of the affected employees. The company will also provide comprehensive assistance during their transition, ” Brian added.
As affirmed by the company representative, the impacted employees would be granted a worthy severance pay, insurance extension facility by the end of the year, long service pay, and the right pay compensation.
During its long journey since 2013, this omnichannel commerce platform has ever performed efficiency moves for its business in the early third year and even aims to be closed its operations. As reported by katadata.co.id, the Founder of this company explained to execute this step because the company failed to obtain funding in 2015 amid a high runway of the company.
“The company was forced to cut the team by 40% when the number of employees reached about 30. However, we determined not to stop our business operations. After executing this complex resolution, we tried to stand on our feet in the next year,” Brian said.
Through this complicated consideration, SIRCLO Group has passed the bankruptcy prediction and achieved breakeven by the end of 2015, Influenced by a dedicated team and product-market fit achievement.
On the other hand, In 2020, this startup merged with ICUBE to provide more comprehensive technology and e-commerce service to a broader market in Indonesia. One year later, SIRCLO Group acquired Orami, the largest Indonesian parenting platform, to boost social commerce’s potential through the latter’s extensive network of community.