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Despite claiming 25 per cent monthly growth, the company had to cut their salary spending by 13 per cent

On Thursday, rumours circulated on various social media platform about Indonesian fashion e-commerce platform SaleStock laying off up to 220 of its employees. The company is also rumoured to have “some issues” with its logistics partner aCommerce.

SaleStock CEO Lingga Madu finally speaks up about the truth behind the rumour.

“While we are growing rapidly at 25 per cent per month in the past eighteen months, we are focussing on building a sustainable and profitable business. As part of that effort, we need to make this difficult decision in order to cut salary spending by 13 per cent,” he said.

Also Read: M-commerce platform Sale Stock launches LINE partnership, AR-based “changing rooms”

Stressing the company’s commitment to assist its former employees in the “transition process,” Madu stated that SaleStock released at least a hundred of its employees, though he did not give the exact number. He also mentioned that those employees are of the customer service division.

“We hope that this will be the first and last lay-off we will ever have to do,” he stated.

Related to the rumour of an “issue” with aCommerce, the company’s spokesperson told e27 in a message that the rumour is untrue.

“We are fine and we have nothing to do with the lay-off,” aCommerce spokesperson wrote.

Founded in 2014, SaleStock is often dubbed by investors and local media as one of the fastest growing e-commerce startups in Indonesia. It provides imported, local, and in-house fashion collection for women, and is looking to launch children’s collection.

The post Promising Indonesian e-commerce platform SaleStock lays off “hundreds” appeared first on e27.

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