SINGAPORE: Courier and logistics company Ninja Van has laid off five per cent of its staff in Singapore, the firm announced on Monday (July 1).
A spokesperson for Ninja Van is quoted in CNA as saying they “recognize the need to diversify beyond e-commerce to ensure the organization’s long-term growth,” even as the firm acknowledges that e-commerce continues to be competitive in the region.
Ninja Van, a local company founded in 2014, specializes in last-mile logistics and package delivery and operates in Myanmar, Malaysia, the Philippines, Indonesia, Thailand, and Vietnam.
Early in April, celebrating its 10th anniversary, the company launched business-to-business (B2B) and cold-chain delivery services.
Later that month, however, Ninja Van laid off around 10 per cent of its tech team. This move, coming just before Labour Day, was noted with dismay by the National Trades Union Congress.
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Regarding its latest round of lay-offs, a spokesman for the company said:
“In line with the group’s direction, we have reviewed the roles within the organization to assess their alignment with our future needs.
Unfortunately, despite our efforts to minimize impact, we were unable to avoid layoffs impacting 5 per cent of our colleagues in Singapore.”
Employees with transferable skills have been transitioned to support Ninja B2B and Ninja Cold, the services the company announced in April.
Workers laid off were given a month of severance pay for every year of employment but were no longer expected to report to work.
Nevertheless, until Dec 31, 2024, their medical insurance and mental health support have been extended. Ninja Van provides additional support, such as resume reviews and interview training.
While Ninja B2B was launched in all six markets where the company operates, Ninja Cold was initially offered only in Singapore and Malaysia.
Still, it will later launch in Indonesia, the Philippines, and Vietnam.
“The implementation of a cold chain logistics system grants us access to the food and pharmaceutical industries, which were previously out of reach as we couldn’t transport temperature-controlled goods,” said Ray Chou, the country head of Ninja Van Singapore, in April.
“Our ability to now support these bedrock industries in Singapore presents a significant growth opportunity not only for Ninja Cold but also allows us to explore potential synergies with other facets of our services.” /TISG
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