(Bloomberg) -- Online learning platform PT Ruang Raya Indonesia said it fired hundreds of employees as a deterioration in the global economy and investment climate hurt technology companies including start-ups like it.
Ruangguru, as the firm is known, will offer severance pay and other compensation according to the law, according to a statement from its founders on its website Saturday. It did not give an exact number of people who will lose their jobs.
“We apologize for our failure to predict and anticipate the rapidly developing economic situation,” they said. “At the beginning of the pandemic, Ruangguru's services experienced a large increase in demand which resulted in too many and too fast recruitment in the last two years.”
Jakarta-based Ruangguru has more than 22 million users in Indonesia, Singapore, Vietnam and Thailand, according to its website. The company, which had more than 4,000 employees, provides services including subscription-based video and live teaching.
It raised $55 million in 2021 in a funding round led by Tiger Global Management. In July, it was reported to be considering raising $100 million to $150 million in a funding round, according to people with knowledge of the matter.
--With assistance from .
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