Agoda lays off 50 S'pore staff, employees allegedly told they won't get severance if they complain to authorities

Online travel agency Agoda has reportedly laid off around 50 employees based in Singapore.

The Singapore-headquartered firm, whose office is located at Cecil Street, announced the retrenchment exercise in a closed townhall on Aug. 4.

Due to "cost" and "recruitment challenges", all Customer Experience Group (CEG) roles in Singapore would be terminated, the management reportedly said.

All roles, including regional managers and customer service specialists, were affected.

Local workforce quota

Around a year ago, Agoda established new CEG sites in India, China, and Egypt, a source told Mothership.

They claimed that previously, Agoda's associate vice-president Glenn Birkelev allegedly said the Singapore CEG function existed mainly to satisfy the local workforce quota.

This was apparently so that Agoda could hire foreign talent in IT and engineering roles, the source said.

But recently, the Ministry of Manpower (MOM) raised the minimum salary requirements of S Pass holders, a change that kicked in on September 2025.

This was likely why Agoda "decided to scale down the Singapore operation", the source opined.

Under Singapore law, companies must adhere to a certain ratio of foreign workers (mainly Work Permit and S Pass holders) to local workers.

Don't go to the authorities

Affected employees were put on garden leave until Sep. 3.

They were also given a severance letter, in which each employee was offered one month's severance pay per year of service.

But this offer came with some conditions.

In the letter seen by Mothership, employees were warned not to report the matter to the authorities.

If they made reports to the authorities, trade unions, or any affiliated organisations — including MOM, the Tripartite Alliance for Dispute Management (TADM), or the Tripartite Alliance for Fair and Progressive Employment Practices (TAFEP) — employees would "immediately cease to be entitled to the severance", the letter said.

If they did so after the company paid them the severance, they would be obliged to repay the full sum to the company "as a debt".

Furthermore, if they were to embark on any mediation requests or claims, they would similarly no longer be eligible for the pay.

They would additionally have to compensate the company for any costs incurred, such as legal costs or damages orders, according to the letter.

Finally, employees were told that they would have to update their LinkedIn profile immediately upon the end of their employment, or risk being in breach.

"Cost" issues

Despite citing "cost" as a reason for the layoffs, sources pointed out that Agoda has been making preparations for a new Bangkok office.

Agoda's chief executive officer said at a previous townhall that the company would "spare no expense for the new office", an ex-employee told Mothership.

Furthermore, when a Singapore employee questioned the limited progression locally as compared to sites in other countries, Birkelev apparently replied that there were more of such opportunities in Agoda's other offices.

If they wanted such opportunities, employees could relocate to Bangkok, he reportedly suggested.

Mothership has reached out to Agoda and the National Trades Union Congress (NTUC) for comment.

Top image from Agoda's website