The world's largest technology companies are cutting large numbers of employees while increasing investment in AI to reduce operating costs and make the company more agile.
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E-commerce platform Daraz Nepal has laid off dozens of employees. In the last two weeks, 30 employees have been laid off. Although the company calls it a ‘leadership transition plan’, it is understood that this is part of the regional staff reduction.
Daraz Group has been saying that this step is being taken to streamline its structure in the overall South Asian market. Recently, the world's big technology companies have been cutting a large number of employees by increasing investment in AI to reduce their operating costs and make the company more agile.
With Daraz Nepal laying off employees, the company's Managing Director Aanchal Kunwar has resigned from her post. She will step down from the post on 5 June. After that, she will work as an advisor until 16 December, the company said in a statement. Kunwar will be replaced by Ben Yi, currently the Managing Director of Daraz Bangladesh. Ratish Luintel has been appointed as Chief Commercial Officer (CCO).
The statement said that during Kunwar’s four-and-a-half-year tenure, the business doubled and the number of customers crossed 3 million. “When I returned to Nepal, my goal was not just to expand a business,” Aanchal said of her tenure. “It was to build a capable organization, strong leadership, and a strong digital ecosystem for Nepal. I am proud of the achievements I have achieved with my colleagues while at Daraz.”
25 to 30 employees have been laid off from Daraz Nepal in the last two weeks. A senior official at the recently laid-off company said that the cuts began after the hiring freeze in early 2026. Two other employees who were laid off from the company have separately contacted Kantipur. Their names are not mentioned here because they have a non-disclosure agreement with the company.
According to an employee who left the company, she was called to a meeting for a performance review and asked to resign. “I was asked to hand in my resignation immediately, I didn’t even get to tell my friends that I was leaving,” she said. “I had to hand in my laptop before I left the meeting room, and my system access was cut off.” According to her, she was told to leave the office because her position was no longer needed in the new structure.
Another employee who was about to be laid off felt that it was the right move to save the organization by cutting expenses rather than letting the company go into a loss and ‘collapse.’ “I don’t want to be too prejudiced and say that it is wrong because I have been through this process. Because reducing manpower to save the company could be an option,” she said. “But it doesn’t seem fair to hire an employee a month ago and fire them the next month in the name of structural changes. I had just quit my job and came to the office. I was praising my work until last week. If you leave this week, please!”
The employee commented that it is common and practical practice in information technology companies to dismiss employees on the same day they are given notice and to immediately take back their laptops for security reasons. But he believes that Daraz needs to improve its employee management style. “This hire-and-fire style of hiring a large number of employees two months ago and firing them the next month is not fair,” he said. “What is the company’s long-term plan? It should be clear about this.”
Daraz Nepal has provided a ‘service and benefits package’ with financial compensation to the laid-off employees. According to the employees who left the company, this benefit package is mainly determined based on the length of time the employee worked. Each laid-off employee has received an amount equivalent to at least 3 months’ full salary as basic benefits.
An arrangement has been made for employees to receive an additional month’s salary for every year they have worked. If someone has worked in the company for 7 years, they have received a package equivalent to a month’s salary plus an additional 7 months for 7 years, for a total of 10 months’ salary. Employees who have been recently appointed or have worked for only a short time have also received benefits in proportion to their length of service. Employees who have worked for 6 months have been given an additional 3.5 months’ salary, according to the employees.
The company says that Daraz has more than 3 million customers in Nepal. Although the official number of employees is not clearly disclosed, an employee who left said that there are 150 to 200 full-time employees. There are many employees in the offices in Thasikhel and Thapathali. The delivery and logistics team, which works on daily wages, is estimated to be 1,300 to 1,500.
Daraz is cutting staff not only in Nepal but also in other countries in South Asia. 80 to 90 employees have been laid off in Bangladesh. About 30 employees have also been laid off in Sri Lanka. The situation is similar in Pakistan and Myanmar. In early 2024, the Daraz Group also cut staff regionally. At that time, the company's acting CEO James G. Dong explained that this last option was chosen because it was necessary to create a "fast and agile structure" to meet market challenges and financial goals.
There is currently a wave of employee layoffs at large technology companies worldwide. In the first five months of 2026, 367 companies laid off more than 149,937 employees, according to layoff tracker TroopUp.io. Oracle cut 50,332, Intel cut 46,591, and Meta cut 34,571. Amazon cut 27,523, and HP cut 28,826. According to
Layoffs.FYI, Meta cut 8,000 jobs in May and June 2026. Cisco also cut 4,000. Companies are cutting staff to “do more with less” and adapt to the AI era, rather than being in financial distress. Daraz’s parent company Alibaba Group saw its headcount fall by 34 percent in 2025 as it increased its investment in AI, CNBC journalist Dylan Butts reported.
According to information received from official and inside sources about the financial condition of Daraz Nepal, the company is currently striving towards making a profit. “Daraz Nepal’s ‘EBITDA’ is now ‘positive’,” says an employee who left the company. The company is making an operating profit before deducting interest on loans, taxes and other technical expenses. “Although the EBIT is positive, the company has not yet been able to make a net profit,” he said. “The company may have cut staff and restructured with the aim of making a profit.”
