Payments firm, Chipper Cash has cited low worldwide investor confidence and the virtual shut of venture capital markets main causes of the current job trims.
Chipper Cash recently dismissed more than a third of its workforce (more than 100 employees), following worldwide tech industry lay-offs.
This is the second wave of job cuts by the firm following the December 2022 layoffs that affected more than 12 percent of its staff equivalent to a total of 50 employees.
According to reports by people conversant with the matter, the firm’s Chief Executive Officer (CEO Ham Serunjogi) defended the layoffs by pointing out that, “The economic climate has not shown any meaningful improvement, and there is considerable uncertainty about the future.”
Mr Serunjogi said the company’s changes were inevitable, to ensure sustained long-term success by continually adapting to the present economic landscape; to outshine competitors.
The firm is reported to exercise extra measures like careful utilization of resources and focusing on the core values of the business, for instance: streamlining initiatives to concentrate on key markets and products, to boost profitability and success.
“The company’s latest strategy requires a smaller team to sustain the business. That’s why a third of the workers, including the entire crypto department, have been laid off, and other functions are being managed by a single staff member,” stated the report.
The firm confirmed that employees affected will be compensated with a comprehensive severance package, extended medical coverage and payouts for any unused leave.
Chipper Cash has been operating for more than four years and was once valued at more than $2 billion.
Locally, firms like Kune Food, Twiga Foods, Notify Logistics, and Sendy have been affected by the job cuts trend.
Big companies worldwide like Meta, Twitter, Amazon, Apple, and Microsoft dismissed many employees citing tough economic times.