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Olx Group, on online marketplace and classifieds business arm of Prosus, has announced the reduction of approximately 800 jobs globally.
The company has begun closing operations of its automotive unit, Olx Autos, in certain markets after exploring potential buyers and investors, according to a report on Tech Crunch.
The layoffs are not limited to a specific market or division and affected employees are being informed about the decision, sources close to the development informed.
An Olx spokesperson confirmed the job cuts, attributing them to the company’s previous announcement in March regarding its exit from Olx Autos. Olx Group operates in over 30 countries globally and is headquartered in Amsterdam.
“Earlier this year, we made the strategic decision to exit the Olx Autos business and potential buyers or investors have been explored since then,” the company said in a statement emailed to TechCrunch. “As a result of this process, it became clear that pursuing individual country sales was the best option, given the significant value that exists within local markets. This includes Chile, the financing business in Latin America, and both the Olx classifieds platforms and the Autos transaction businesses in India, Indonesia and Turkey.”
Olx Group has closed operations in Argentina, Mexico, and Colombia due to a lack of potential buyers or investors. Uncertainty remains regarding its future plans in other markets.
“We are committed to supporting all impacted people throughout this transition,” the company said.
Olx’s recent job cuts come after previously announcing a 15% reduction in its global workforce (1,500 jobs) in January. However, there is no confirmation on whether any C-level officers were affected or the current headcount.
In its annual report for the year ending on March 31, 2022, Prosus said its classifieds business — predominantly Olx — had 11,375 employees globally. The new job cuts notably come just months after Olx confirmed plans to decrease its global workforce by 15% (1,500 jobs) in January.