Thursday, 18 September 2025
31 C
Singapore
32.7 C
Thailand
25 C
Indonesia
28.6 C
Philippines

Latest cost-saving measures by Grab will see 5% of its workforce being laid off

In an announcement addressed to Grab employees posted yesterday (16th June), Grab’s CEO and Co-Founder shared that they will be letting go of approximately 5% of its employees. The news comes fresh after a recent announcement that Grab will limit its performance-based commission and remove other schemes as part of its cost-saving measures. As a […]

In an announcement addressed to Grab employees posted yesterday (16th June), Grab’s CEO and Co-Founder shared that they will be letting go of approximately 5% of its employees.

The news comes fresh after a recent announcement that Grab will limit its performance-based commission and remove other schemes as part of its cost-saving measures. As a show of solidarity, Grab has also shared earlier in April that its senior management will take a 20% pay cut.

Commenting on the lay-off, CEO and Co-Founder Anthony Tan explained the challenges that the company has noting that “Since February, we have seen the stark impact of COVID-19 on businesses globally, ours included. At the same time, it has become clear that the pandemic will likely result in a prolonged recession and we have to prepare for what may be a long recovery period. Over the past few months, we reviewed all costs, cut back on discretionary spending, and implemented pay cuts for senior management. In spite of all this, we recognize that we still have to become leaner as an organization in order to tackle the challenges of the post-pandemic economy.”

Elaborating on the decision, Grab will be “sunsetting” a couple of its non-critical projects, merging functions for improved efficiency, and “right-sizing” teams to allow the business to better manage its changing business needs. Grab has also re-assigned its staff to necessarily to meet increasing consumer demand for deliveries and this has resulted in an ideal outcome of saving many jobs and keep the lay-off to a minimal percentage at under 5%. To re-assure employees, the announcement also states that this would be the last organization-wide layoff for 2020.

In an effort to address the anxieties and extend assistance to employees who will be laid-off, Grab has detailed in its announcement several forms of support to aid affected employees in their transition. Some of these include details on severance payment, medical insurance coverage till the end of 2020, career transition and development support, as well as an option to keep the laptops to facilitate the transition.

To allow affected employees a chance to reach out to the CEO, they have also been encouraged to reach out to Tan via its organisation communication tools. The announcement closes with heartfelt gratitude from Tan, noting that “You will always be part of the Grab family.”

Hot this week

New Relic study shows IT outages cost Southeast Asian firms up to US$165.5 million a year

A New Relic report finds IT outages cost Southeast Asian firms up to US$165.5m yearly, with AI driving demand for observability.

How earables are evolving into health and lifestyle assistants

Earables are evolving beyond audio, offering health tracking, translation, and navigation—shaping new opportunities across Southeast Asia.

Remote launches AI-powered surveys to boost employee engagement

Remote has launched AI-powered Remote Surveys, helping companies collect and act on employee feedback, alongside new global HR tools.

Cohesity and Semperis launch solution to strengthen identity resilience

Cohesity and Semperis launch Cohesity Identity Resilience to help enterprises protect and recover Active Directory and Entra ID systems.

Singapore FinTech Festival marks 10th anniversary with focus on AI, tokenisation and quantum computing

Singapore FinTech Festival 2025 celebrates its 10th year with a focus on AI, tokenisation and quantum computing from 12 to 14 November.

Half of Singapore workers face financial strain as demand for pay flexibility rises

Half of Singapore’s workforce is financially vulnerable, with rising demand for flexible pay and payroll teams struggling under mounting pressure.

IBS Software and Emirates Skywards launch new loyalty platform partnership

IBS Software and Emirates Skywards launch iLoyal, a next-gen loyalty platform serving 35 million members with enhanced digital experiences.

GitLab survey shows AI software innovation could unlock over S$6 billion in Singapore

GitLab survey finds AI software innovation could generate over S$6 billion annually in Singapore, with skills and governance key to success.

New Relic study shows IT outages cost Southeast Asian firms up to US$165.5 million a year

A New Relic report finds IT outages cost Southeast Asian firms up to US$165.5m yearly, with AI driving demand for observability.

Related Articles

Popular Categories