There is no company that is completely immune to the global economic downturn and tech layoffs are spreading across the globe. More than 100, 000 people have been laid off by tech companies this year, large and small.
The largest job cut in the history of the company was announced last week by Amazon, which was the largest job cut in the company's history. There aren't only layoffs in the United States.
Indonesia's biggest tech company GoTo Gojek Tokopedia announced on Friday it was laying off 1,300 people, or around 12% of its total headcount. Goto Group is a unicorn tech startup that was formed last year as a result of the merger of Gojek's ride-hailing to-payments company and e-commerce giant Tokopedia.
GoTo Group said a reduction in staffing levels will affect 1,300 people, or approximately 12% of employees, across the GoTo group. The company said that approximately 800 billion Indonesian rupiah in structural cost savings had been achieved in areas such as technology, marketing and outsourcing by the end of the second quarter. GoTo went public early this year to become Indonesia's fourth most valuable company at a $28 B valuation. In August, we covered Goto Group after the tech giant jumped into the space with the acquisition of local PT Kripto Maksima Koin.
Gojek is an app for ordering food, commuting, digital payments, shopping, hyper-local delivery, getting a massage, and two dozen services, which was founded in 2010 by Kevin Aluwi, Michaelangelo Moran and Nadiem Makarim. It is Indonesia's first and fastest-growing decacorn to build an on-demand empire across Southeast Asia. The Gojek app was launched in Indonesia in 2015, and is now the largest consumer transactional technology group on a GTV-basis in Southeast Asia.