Gojek has Prepared Assistance for Employees Affected by Layoffs

Gojek announced the steps to terminate employment with 430 employees. Most of the employees that got laid-off were from GoFood Festival and GoLife sector because it’s been the most affected sector by the pandemic. For information, the continuity of the two services has now indeed been stopped by Gojek.

Even though he did layoffs, Gojek made sure to keep giving employees rights, ranging from severance pay, salary payments, to extending employee assistance programs.

“Gojek employees who are affected by this decision will get benefits including severance above the standards set by the government,” Gojek Co-CEO Andre Soelistyo said.

8 Benefits for Employees Affected by Layoffs

The following is company support for affected employees, as quoted from Gojek’s press release on Wednesday (6/24/2020).

1. Severance pay

Financial sustainability is the biggest concern at this time. Affected employees will receive severance pay (we set a minimum of 4 weeks’ salary) plus an additional 4 weeks of salary for each year of work.

2. Payment of salary during the notice period

Gojek does not require affected employees to work when they enter the notification period so that employees can focus on thinking about their plans for the future. However, we will still pay their salaries in full.

3. Equity arrangement

The annual cliff for employees who have ownership rights will be deleted, so employees who leave Gojek can own shares in the company they have built.

4. Payment of annual leave and other rights

Gojek will pay annual leave that is not used, as well as other rights including maternity leave.

5. Extension of health insurance

In the midst of this global health crisis, we want to ensure that the health-related needs of employees affected continue to be met. We will extend the health insurance scheme for affected employees and also for their families, until 31 December 2020.

6. Equipment

Employees can still have their laptops to help find other opportunities.

7. Extension of employee assistance programs

Gojek is very concerned about the emotional and psychological conditions of employees affected. Therefore, Gojek extended the support period, including mental health, financial, and other consultation services over the next three months.

8. Outplacement program

Finding new jobs has never been easier, so we provide outplacement programs that will help everyone find work.

Gojek Closed GoLife Service because of Covid-19

Previously, Gojek had just announced the company’s strategy to strengthen its focus on the core business that has the most extensive impact on society, namely the transportation business, food delivery, and electronic money as a long-term step in dealing with the Covid-19 pandemic.

Therefore, Gojek decided to close one of its services, namely GoLife. Besides GoLife, another service that was also closed was the GoFood Festival. As stated in their written statement, Gojek said that both sector will be terminated due to the crisis.

This decision was made based on an evaluation of the macroeconomic situation and changes in community behavior that became more alert to activities involving physical contact or activities that did not allow distance.

The company added that GoLife and GoFood Festival require close interaction, and have experienced a significant decrease in demand in recent months along with the COVID-19 pandemic. The GoLife application can be used until July 27, 2020.

This Policy Impacted Gojek’s Partners

The closure of GoLife services will unfortunately have an impact on GoLife partners due to the Covid-19 pandemic. In this regard, Gojek claims to provide support in the form of the ‘COVID-19 Partner Solidarity Program’ to partners who are actively using the platform prior to restrictions due to COVID-19.

This is a skills improvement program through online training that can be a long-term provision for additional income. In addition, Gojek will also provide cash assistance programs for active partners who meet the criteria.