E-commerce giant to layoff 10% of workforce in restructuring move

According to various media reports, indigenous ecommerce giant, Konga.com, is laying off ten percent of its 800-strong workforce in what it calls a restructuring exercise.

The layoffs will run across the entire company with hopes of reaping operational efficiency and business effectiveness, according to a TechCabal report.

“With this restructuring and by taking advantage of new innovations and upcoming retail opportunities in the market space, we are optimistic that we are on the path to grow an even healthier and more sustainable business, whilst delivering best in class service to our customers. The decision to restructure and realign our company’s focus to be more agile in the prevailing local economic conditions is not one that was taken lightly,” said a Konga representative in an email statement, the report further reveals.

READ: Konga shines, Yudala steps up and Nigerians shop!

Furthermore, severance packages will be offered to the 80 workers that will be affect by the downsizing, as well as assistance with other opportunities that match their skill set.

Rival e-commerce companies Jumia, Dealdey, as well as video on-demand service, iROKO also effected staff cuts in late 2015 with various macro-economic forces as well as market dynamics at play.

Konga’s revenues grew 450 percent from 2013 to 2014, according to TechCabal. Pulse Tech also reported during its Yakata sales that Konga had over N1 billion in sales on the first day alone.