Alibaba-owned e-commerce platform Daraz Bangladesh reportedly laid off approximately 100 employees on May 6 and 7, according to former staff who confirmed they were among those dismissed. Affected employees, mostly at executive and managerial levels, described abrupt 15-minute meetings and were promised severance packages. The company cited cost-cutting and operational optimisation, while insisting it remains committed to Bangladesh. The layoffs follow previous cuts in February 2023 and February 2024, and coincide with broader restructuring across Daraz’s South Asian markets, including Nepal, Sri Lanka, and Pakistan.
In-Depth:
Daraz Bangladesh has reportedly laid off around 100 employees in its latest round of job cuts, carried out on May 6 and 7, according to several former employees who stated they were among those affected.
Several former managerial-level employees, who requested anonymity, stated the dismissals were communicated to them in meetings lasting about 15 minutes. They claimed the cuts were part of a wider cost-saving effort by the Alibaba-owned e-commerce company.
Speaking on condition of anonymity, a former Daraz employee stated, “The layoffs were very sudden, but we were promised severance packages by the company. Daraz cited cost-cutting measures and operational optimisation as the reasons behind the layoffs.”
“It is understandable, as Daraz Bangladesh has been operating at a loss since its inception, while Daraz Pakistan and Daraz Sri Lanka have performed better in their respective markets,” they added.
Another former Daraz employee, choosing to stay anonymous stated, “Many of those affected by the layoffs were executive-level employees and support staff. Line managers were not fully aware of all the layoffs, and in some cases employees were not properly informed.”
“Daraz remains firmly committed to Bangladesh and has no plans to exit the market. Bangladesh continues to be an important market for the company, and claims suggesting otherwise are entirely inaccurate,” the company stated in a statement.
“We continue to operate normally and remain focutilized on driving sustainable growth while contributing to the development of Bangladesh’s digital economy.”
Daraz stated it regularly reviews its organisational structure and resource allocation as part of normal business operations “to ensure alignment with evolving business priorities and long-term strategic objectives”.
The company did not disclose whether any employees had been laid off or how many roles had been affected.
The alleged job cuts at Daraz follow previous rounds of layoffs at the company. In February 2024, Daraz announced that it would “bid farewell to many valued members”, but did not disclose the number of employees affected.
Sources at Daraz Bangladesh informed The Daily Star at the time that the layoffs were substantial, affecting about 35 percent of the company’s full-time workforce of around 900 employees.
Earlier, in February 2023, Daraz Bangladesh laid off dozens of employees after its parent company reduced the size of its workforce by 11 percent.
The latest reported job cuts in Bangladesh come amid a broader restructuring of Daraz’s South Asian operations. The Kathmandu Post reported on June 7 that around 30 employees had been laid off at Daraz Nepal as part of efforts to streamline operations and improve profitability. The report cited current and former employees who described workforce reductions across several markets, including Bangladesh, Sri Lanka, and Pakistan.
The Kathmandu Post also reported that Ben Yi, managing director of Daraz Bangladesh, would take over as acting managing director of Daraz Nepal.
Chinese e-commerce giant Alibaba acquired Daraz Group in 2018. The company operates in Bangladesh, Pakistan, Nepal, Sri Lanka, and Myanmar.
