GOGOX cuts 10% of workforce in HK upon cost structure review

On-demand logistics platform GOGOX has confirmed to MARKETING-INTERACTIVE that the company will downsize 10% of its headcount in the Hong Kong office, affecting around 40 employees.  

A GOGOX's spokesperson said that the difficult decision was made after a comprehensive review of the cost structure and the long-term sustainable development of the company amid challenges brought about by the macro economy. “We have tried our best to provide the affected employees with appropriate support. The group will continue to develop business with a global perspective, and we would like to thank all the employees who have been and are working with us,” the spokesperson added.

Meanwhile, the spokesperson has not provide further information such as whether the marketing department is affected. However, self-employed co-op van drivers are not impacted in this round of layoff, according to Sing Tao Daily.

According to multiple media reports such as HK01, GOGOX has more than 1,100 employees worldwide, including 300 employees in the Hong Kong office.

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Launched in 2013 in Hong Kong, GOGOX has expanded its businesses from Hong Kong to Singapore, Mainland China, South Korea, India, and Vietnam over the years, according to its website. It has increased its presence to over 340 cities, with more than 5.2 million registered drivers under the GOGOX network. 

This comes after GOGOX closed a funding of approximately US$100m co-led by BOCOM International and Cyberport Macro Fund (CMF). GOGOX has amassed a portfolio of strategic investors and funds, including 58.com, Alibaba, Cainiao, China InnoVision and Qianhai Equity Investment Fund. This new round of funding will enable GOGOX to strategically invest resources among various markets, deepen its businesses and influence, advance its service and product innovation, continue to improve user experience, and drive intra-city logistics forward.

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