Why Konga sacks workers every six months
Nigeria’s online marketplace, Konga has said its
business development strategy remains the
underlying cause of reducing its workforce every
six months.
Konga stated this after disengaging another set of
employees penultimate week.
Recall that in January this year, Konga sacked 80
employees, about 10 per cent of its workforce. At
the time, the company blamed it on the prevailing
tough economic situation. It stated that the
decision to let some employees go was not ‘taken
lightly.’
“The decision to restructure and realign our
company’s focus to be more agile in the prevailing
local economic conditions is not one that was
taken lightly,” Konga had said. It added: “With this
restructuring and by taking advantage of new
innovations and upcoming retail opportunities in the
market space, we are optimistic that we are on the
path to grow an even healthier and more
sustainable business, whilst delivering best-in-class
service to our customers.”
However, six months down the lane, Konga
disengaged another undisclosed number of
employees, but this time, it did not blame the
economy but instead said it had been the
marketplace’s business strategy over the past two
years. According to the company, this strategy had
worked very well for the company over the past two
years. It added that "even the sacked workers
usually move to other companies to accomplish
great things."
“Nigeria’s largest online mall, Konga.com, will lay
off some of its employees, as part of its business
development strategy whereby it reviews staff
strength every six months. Konga has been doing
this consistently over the last two years and
usually let go of staff that still go on and do great
things elsewhere.”
In the statement, Konga’s Chief Executive Officer,
Shola Adekoya stated that, “The restructuring which
also entails workforce reduction is a prudent and
necessary step for the long term success of the
company. The reorganizing will also impact the
business model as we continue to do retail but only
focus on the products that customers really like
with high throughput in the warehouse and that will
leave other products to strategic merchants that
will take over some of the products in a
marketplace fashion."
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