New Reporter
29-02-24, 11:17
PropertyGuru cuts 79 jobs, closes unprofitable units in strategic review
Feb 27, 2024
PROPERTY portal PropertyGuru Group will lay off 79 employees, about 5 per cent of its workforce, as part of a strategic review that will also see it closing non-profitable units.
In an open letter to staff on Tuesday (Feb 27), chief executive officer and managing director Hari Krishnan said: “This decision was made after careful and objective identification of the roles for PropertyGuru’s next phase of growth.”
He added: “Volatile market conditions and changing customer needs require us to adapt our strategy so that we can continue to grow sustainably. It’s essential that we periodically reassess our progress and take proactive steps to future-proof our business.”
As part of the review, the company will be closing two out of nine branches in Vietnam relating to its marketplace business, consolidating technology delivery and streamlining regional resources to improve collaboration and foster innovation.
Roles within customer support will be redesigned across marketing, product and enterprise sales to serve customers “holistically and with enhanced value”, the letter said.
The company did not reply to The Business Times’ queries on how many roles were axed in Singapore compared with the other markets in which it operates.
Last year, PropertyGuru exited the Indonesia market and ceased its FastKey operations in Indonesia, Malaysia and Singapore.
For the third quarter of its financial year ended Sep 30, 2023, the company reported earnings of S$312,000, swinging into the black from a net loss of S$7.4 million in the year-ago period.
Revenue for the quarter was up 13.2 per cent to S$39 million, driven mainly by higher contributions from Singapore, which more than offset lower revenue in Vietnam.
It said in its earnings statement that Singapore’s revenue contributions grew 24.1 per cent on the year to S$22.5 million, as its number of agents and average revenue per agent grew over the quarter.
In his letter, Krishnan said affected staff will be given severance pay of one month for each year of service, capped at 12 months or country statutory severance pay, whichever is higher.
The company will also give a goodwill payment of one-month base salary as well as eligible 2023 annual performance bonus for affected non-sales staff, or sales commission for February and March (where applicable) for affected sales staff.
PropertyGuru will also extend company medical insurance, or a lump sum payment in lieu, and access to its employee assistance programme for three more months from the last date of employment.
Affected staff will also be able to access an outplacement service for three months, and will be able to keep their work laptops.
https://www.businesstimes.com.sg/property/propertyguru-cuts-79-jobs-closes-unprofitable-units-in-strategic-review
Feb 27, 2024
PROPERTY portal PropertyGuru Group will lay off 79 employees, about 5 per cent of its workforce, as part of a strategic review that will also see it closing non-profitable units.
In an open letter to staff on Tuesday (Feb 27), chief executive officer and managing director Hari Krishnan said: “This decision was made after careful and objective identification of the roles for PropertyGuru’s next phase of growth.”
He added: “Volatile market conditions and changing customer needs require us to adapt our strategy so that we can continue to grow sustainably. It’s essential that we periodically reassess our progress and take proactive steps to future-proof our business.”
As part of the review, the company will be closing two out of nine branches in Vietnam relating to its marketplace business, consolidating technology delivery and streamlining regional resources to improve collaboration and foster innovation.
Roles within customer support will be redesigned across marketing, product and enterprise sales to serve customers “holistically and with enhanced value”, the letter said.
The company did not reply to The Business Times’ queries on how many roles were axed in Singapore compared with the other markets in which it operates.
Last year, PropertyGuru exited the Indonesia market and ceased its FastKey operations in Indonesia, Malaysia and Singapore.
For the third quarter of its financial year ended Sep 30, 2023, the company reported earnings of S$312,000, swinging into the black from a net loss of S$7.4 million in the year-ago period.
Revenue for the quarter was up 13.2 per cent to S$39 million, driven mainly by higher contributions from Singapore, which more than offset lower revenue in Vietnam.
It said in its earnings statement that Singapore’s revenue contributions grew 24.1 per cent on the year to S$22.5 million, as its number of agents and average revenue per agent grew over the quarter.
In his letter, Krishnan said affected staff will be given severance pay of one month for each year of service, capped at 12 months or country statutory severance pay, whichever is higher.
The company will also give a goodwill payment of one-month base salary as well as eligible 2023 annual performance bonus for affected non-sales staff, or sales commission for February and March (where applicable) for affected sales staff.
PropertyGuru will also extend company medical insurance, or a lump sum payment in lieu, and access to its employee assistance programme for three more months from the last date of employment.
Affected staff will also be able to access an outplacement service for three months, and will be able to keep their work laptops.
https://www.businesstimes.com.sg/property/propertyguru-cuts-79-jobs-closes-unprofitable-units-in-strategic-review