Laid-off Lazada employees to get bigger payout after negotiation

A number of employees will receive an additional two weeks' pay for each year of service, to be disbursed in approximately two weeks, according to several former employees who spoke to The Straits Times on the condition of anonymity.

Others will receive only "training support" of S$1,200 (US$888.76), which will be paid out in August.

The former employees were from Lazada Singapore and Lazada Southeast Asia. Initially Lazada offered them only two weeks’ pay per year of service, which was below industry norms.

The Food, Drinks and Allied Workers Union has negotiated with Lazada for the additional benefits for the employees who are its members.

National Trades Union Congress secretary-general Ng Chee Meng said in a Facebook post on May 21 that the union was closing matters with affected eligible union members.

Lazada in January laid off an undisclosed number of employees in Singapore and Southeast Asia.

CNBC reported at the time that all functions including commercial, retail and marketing would be affected by the layoffs.

Various departments within the company and included its regional offices in Malaysia, Indonesia, and Vietnam were affected by the termination.

Lazada became a subsidiary of Alibaba Group after the Chinese tech giant acquired control of it in 2016.