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Gojek Closes Down GoLife and GoFood Festival, 430 Employees are Getting Laid Off

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Gojek gets another business downsizing, this time by stopping GoLife services and the GoFood Festival food program. GoLife will be effectively closed as of July 27, 2020. Previously, at the end of 2019, five official GoLife services were stopped, leaving only GoMassage and GoClean.

The number of Gojek’s employees to be laid off is 430 and the company promises that this will be the only lay-off in terms of the pandemic situation.

For affected employees, Gojek delivers severance packages as follows:

  1. Affected employees will receive severance pay (minimum 4-week salary) plus an additional 4-week salary for each year of work.
  2. Payment of salary during the notice period. Affected employees are not required to work when they enter the notification period, but salaries are paid in full.
  3. Equity arrangement. The waiting period (annual cliff) for employees who have ownership rights will be eliminated, therefore, employees who leave will immediately get company shares.
  4. Payment of annual leave and other rights not used
  5. Extension of health insurance for affected employees and their families until 31 December 2020.
  6. Employees can continue to have laptops to help find other opportunities.
  7. Extension of mental health, financial, and other consultation services over the next three months.
  8. An Outplacement program that should help everyone to find a job.Closing this service will also have an impact on GoMassage and GoClean partners. Gojek promises an appreciation package for partners, in the form of cash and online training, which is expected to be used by partners to get up and look for new opportunities.

Meanwhile, the GoFood Festival was stopped because it was not in line with the concept of physical distancing during the pandemic. GoFood Festival partners can optimize the business through GoFood and Gojek’s cloud kitchen initiative.

Previously, Gojek’s closest competitor, Grab, had announced a reduction of around 5% for employees, 360 people, regionally.

Focus on core business

Starting as a ride-sharing application, Gojek has the ambition to be a super app, an application that is able to accommodate the various daily needs of its users. In recent years, the company has been steady with this vision and continues to offer new services, including various features in GoLife.

Currently, along with the consumers’ changing habits during the pandemic, Gojek has chosen to focus on several services with larger potential to generate revenue. In addition to transportation and logistics, Gojek’s focus is now on the payment platforms (GoPay), food delivery (GoFood), and health (GoMed with Halodoc).

The innovation was carried out with two strategies, as internal through independent and external development through collaboration. In order to support collaborative innovation, Gojek used the Go-Ventures investment unit, which provides a lot of funding for potential startups.

Earlier this month, Gojek announced funding from Facebook and PayPal in the Series F round. Reportedly after the funding, the company’s valuation stood at $12.5 billion.

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Original article is in Indonesian, translated by Kristin Siagian

Akibat penutupan layanan GoLife, pegawai Gojek yang terdampak terkena layoff atau dialihkan ke divisi lain

Gojek Tutup GoLife dan GoFood Festival, 430 Pegawai Terkena Layoff (UPDATED)

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Gojek kembali melakukan perampingan bisnis, kali ini dengan menghentikan layanan GoLife dan program food court GoFood Festival. GoLife akan efektif ditutup per 27 Juli 2020. Sebelumnya, akhir tahun 2019 lalu, lima layanan GoLife resmi dihentikan, hanya menyisakan GoMassage dan GoClean.

Pegawai Gojek yang terdampak berjumlah 430 orang dan perusahaan menjanjikan langkah pengurangan pegawai ini menjadi satu-satunya keputusan pengurangan di tengah situasi pandemi.

Bagi pegawai yang terdampak, Gojek menyampaikan paket pesangon sebagai berikut:

  1. Karyawan yang terdampak akan menerima pesangon (minimum gaji 4 pekan) ditambah tambahan 4 pekan gaji untuk setiap tahun lamanya bekerja.
  2. Pembayaran gaji selama periode pemberitahuan. Karyawan terdampak tidak wajib untuk bekerja saat sudah memasuki periode pemberitahuan, tapi gaji tetap dibayar secara penuh.
  3. Equity arrangement. Masa tunggu (annual cliff) bagi karyawan yang memiliki hak kepemilikan saham akan dihapus, sehingga karyawan yang meninggalkan Gojek langsung mendapatkan saham perusahaan.
  4. Pembayaran cuti tahunan dan hak lainnya yang tidak digunakan
  5. Perpanjangan asuransi kesehatan bagi karyawan yang terdampak dan keluarga mereka hingga 31 Desember 2020.
  6. Karyawan dapat tetap memiliki laptop untuk membantu mencari peluang lain.
  7. Perpanjangan program layanan kesehatan mental, finansial, dan konsultasi lainnya selama tiga bulan ke depan.
  8. Program outplacement yang akan membantu setiap orang untuk mencari pekerjaan.

Penutupan layanan ini juga akan memberikan dampak kepada para mitra GoMassage dan GoClean. Gojek menjanjikan adanya paket apresiasi bagi mitra, berupa dana tunai dan pelatihan daring, yang diharapkan dapat dimanfaatkan para mitra untuk bangkit dan mencari peluang baru.

Sementara itu, GoFood Festival dihentikan karena tidak sejalan dengan konsep physical distancing selama pandemi. Mitra GoFood Festival bisa mengoptimalkan bisnis melalui GoFood dan inisiatif cloud kitchen milik Gojek.

Sebelumnya, pesaing terdekat Gojek, Grab, telah mengumumkan pengurangan sekitar 5% pegawai, 360 orang, secara regional.

Fokus pada bisnis inti

Berawal sebagai aplikasi ride-sharing, Gojek berambisi menjadi super app, yakni aplikasi yang mampu mengakomodasi berbagai kebutuhan sehari-hari penggunanya. Mantap dengan visi tersebut, beberapa tahun belakangan perusahaan terus hadirkan layanan-layanan baru, termasuk varian fitur di GoLife.

Kini, seiring dengan perubahan fokus konsumen selama pandemi, Gojek memilih kembali fokus ke beberapa layanan yang memiliki potensi menghasilkan revenue besar. Selain transportasi dan logistik, fokus Gojek adalah platform pembayaran (GoPay), pengantaran makanan (GoFood), dan kesehatan (GoMed bersama Halodoc).

Inovasi tersebut dilakukan dengan dua strategi sekaligus, yakni internal melalui pengembangan mandiri dan eksternal melalui kolaborasi. Untuk menunjang inovasi kolaboratif, Gojek memanfaatkan unit investasi Go-Ventures yang banyak memberikan pendanaan bagi startup-startup potensial.

Awal bulan ini Gojek mengumumkan kucuran pendanaan dari Facebook dan PayPal di putaran Seri F. Dikabarkan setelah pendanaan tersebut valuasi perusahaan berada di angka $12,5 miliar.

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