Agoda acknowledges reports about the way it handled restructuring exercise of Singapore-based employees

Agoda acknowledges reports about the way it handled restructuring exercise of Singapore-based employees

While not sharing the contentious terms in the severance letters, Agoda apologised for "any language in our agreements that gave the impression employees could not approach government agencies, statutory bodies or trade unions".

Following up on our previous coverage of Agoda’s retrenchment exercise, the travel platform has gotten back to Human Resources Online with a statement addressing reports on its global restructuring exercise, which affected customer support teams including Singapore-based employees.

The company said that after the news broke, it met with the Ministry of Manpower (MOM), the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP), the National Trades Union Congress (NTUC), and the Singapore Industrial and Services Employees’ Union (SISEU) to discuss and address concerns over its severance agreements.

Agoda clarified that the agreements were meant to conclude all matters relating to the employment relationship with affected individuals. As such, Agoda acknowledged it is inappropriate to include provisions that might discourage employees from approaching authorities for all situations.

The company apologised for any language in its agreements that suggested employees could not seek support from government agencies, statutory bodies or trade unions, and emphasised that this is a statutory right.

Agoda added: "We recognise that this regretfully led to a negative impact on some of our employees, and for that we apologise. We reaffirm that we are fully supportive of the spirit of the tripartite employment practices Singapore is known for."

Per the company, it is now contacting impacted employees to provide further clarification and to ensure they have access to e2i’s support schemes, which run in partnership with NTUC and SISEU.

Agoda added: “We empathise deeply with employees who have been impacted by this restructuring and want to reaffirm our commitment to maintaining open communication, upholding fair employment standards, and supporting Singapore’s world-class workforce."

The travel platform also stressed that Singapore remains its home market and that it will continue investing in the country, particularly in highly skilled roles across AI, product, and technology. 

In a separate statement, a MOM spokesperson confirmed that discussions with Agoda, TAFEP, and NTUC had since taken place on retrenchment terms and support measures for affected workers.  

“This is an encouraging development and an endorsement of Singapore's strong tripartite approach, where employers, unions and the government work closely to safeguard the interests of our workers in the spirit of fair and responsible employment practices,” MOM said. 

Recognising that retrenchments can be distressing for workers., the Ministry reminded employers that while they can enter into severance agreements with retrenched employees, they should not prevent workers from reaching out to authorities and unions with genuine concerns.

The ministry emphasised that employers must uphold the spirit of fair and progressive employment practices, particularly during significant workforce changes such as retrenchments.  


ALSO READ: Agoda faces backlash over alleged unfair retrenchment: NTUC, MOM respond


Lead image / Agoda website

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