Baemin Vietnam, the joint venture between Delivery Hero and Woowa Brothers, has begun scaling down operations in its home market and laying off staff.
“Our decision to downside our operations in Vietnam is not one that was taken lightly,” Loan Cao, the company’s interim CEO, said in an email to staff seen by Tech in Asia.
“This decision has unfortunately been accelerated by the challenging food delivery environment in Vietnam, characterized by high incentivisation, driven both by intense competition and high consumer expectations,” said Cao, who took over as CEO after Jinwoo Song’s resignation was announced last week.
Tech in Asia has reached out to Baemin Vietnam for comment on the matter.AD. Remove this ad space by subscribing.
It’s unclear how many staff in Vietnam will be affected by the job cuts. The company has reportedly ceased operations in several localities such as Thai Nguyen, Hoi An, and Bac Ninh.
This news comes just one day after Foodpanda, another brand under Delivery Hero, announced its decision to reduce its headcount across its Asia-Pacific markets.
