Getir, the pandemic-era rapid grocery delivery app, claims it is laying off more than a tenth of its staff.
The Turkish company claimed the 2,500 layoffs would increase “operational efficiency.” The company employs 23,000 people in countries like the UK and Germany.
It comes after a regulatory crackdown in some nations and escalating store competitiveness.
In recent months, the company left Portugal, Spain, France, and Italy.
With a markup on supermarket prices, Getir delivers groceries from so-called “dark stores”—depositories in city centers—in as little as 10 minutes.
Additionally, there have been rumors that it is scrambling to acquire money on concerns that its UK operation may fail, claims that those close to the company have apparently refuted.
Following the closure of several dark stores, the company auctioned off equipment in the UK last month, including scooters and food delivery boxes. The company said that selling surplus goods was “normal” at the time.
Getir, which employs couriers, pickers, and office workers, stated that it had “regrettably” and “with a heavy heart” made the most recent job layoffs.
Whether employees in the UK, one of its main markets, will be impact is unknown. Additionally, the company has operations in the US, Germany, the Netherlands, and Turkey.
It flourished during the Covid lockdowns, but has since suffered from people returning to stores and countries raising worries over competition.
After authorities categorised dark storefronts as warehouses in July, the company and its French counterpart Gorillas closed down and laid off 1,300 people.
Germany’s Flink, a competing company, also left the nation.
The strategy, according to city planners, threatened to snuff out life from the public area and produce a society of homebound customers. Noise in stores that were closed at night has drawn criticism.
Getir and others were charged with “predatory capitalistic behavior” by the deputy mayor of Paris.
Getir claimed that the lack of potential buyers, the unfriendly regulatory environment, and the challenging economic situation had made the choice to leave “inevitable.”
Deliveroo and Uber Eats, two online delivery services that collaborate with supermarkets to distribute food, are still available in France.