Blibli Cuts 400 Jobs in Major E-Commerce Restructuring

Indonesian e-commerce giant Blibli laid off approximately 400 employees on October 24, 2025, marking one of the most significant workforce reductions in the Southeast Asian tech sector this year. The layoffs affected multiple divisions across the company as PT Global Digital Niaga, Blibli's parent company, implements a comprehensive restructuring strategy amid challenging market conditions.

The job cuts represent roughly 15% of Blibli's total workforce and signal the company's shift toward operational efficiency following years of aggressive expansion. Industry sources indicate the decision stems from declining consumer spending, increased competition from regional players, and the need to achieve profitability in Indonesia's saturated e-commerce market.

Context of the Decision

Blibli's workforce reduction reflects broader challenges facing Indonesian e-commerce platforms as the post-pandemic digital boom stabilizes. The company expanded rapidly during 2020-2023, hiring extensively to capture increased online shopping demand. However, as consumer behavior normalized and economic pressures mounted, Blibli faced the reality of maintaining an oversized workforce relative to current revenue streams.

The layoffs coincide with Blibli's strategic pivot toward artificial intelligence and automation technologies. The company has been investing heavily in AI-driven logistics, customer service chatbots, and automated inventory management systems. These technological advances have reduced the need for human intervention in various operational areas, particularly in customer support, data analysis, and warehouse management roles.

Market analysts point to intensifying competition from Shopee, Tokopedia, and emerging platforms as a key factor driving cost-cutting measures. Blibli has struggled to maintain market share while managing rising operational costs and pressure from investors to demonstrate clear paths to profitability.

Impact on Operations

The layoffs primarily affected Blibli's technology, marketing, and operations divisions. Engineering teams focused on legacy systems and redundant product features bore the brunt of the cuts, while the company retained staff working on core platform development and AI initiatives.

Customer service departments experienced significant reductions as Blibli accelerates its transition to automated support systems. The company's Jakarta headquarters saw the largest number of departures, though regional offices in Surabaya and Bandung also experienced workforce reductions.

Marketing and business development teams were streamlined as Blibli consolidates its focus on core product categories and high-margin services. The company is reportedly maintaining its logistics and fulfillment capabilities while optimizing staffing levels through improved automation and process efficiency.

Company Financial Background

Blibli has faced mounting pressure to achieve sustainable profitability since its initial public offering considerations were postponed in 2023. The company raised $150 million in Series C funding in 2022, valuing it at approximately $1.8 billion, but has struggled to meet investor expectations for revenue growth and market expansion.

Parent company PT Global Digital Niaga has been pushing for improved unit economics across its portfolio companies. Blibli's gross merchandise value growth has slowed significantly from its pandemic-era peaks, with the platform reporting flat year-over-year growth in several key categories including electronics and fashion.

The company's burn rate has been a persistent concern for stakeholders, particularly as venture capital funding becomes increasingly scarce in the current economic environment. These layoffs are expected to reduce Blibli's operational expenses by approximately 25-30% annually.

Industry Outlook

Blibli's workforce reduction aligns with similar moves across Southeast Asian e-commerce platforms. Regional competitors including Bukalapak and Zilingo have implemented comparable cost-cutting measures as the industry matures beyond its hyper-growth phase.

The Indonesian e-commerce market, while still expanding, is experiencing consolidation as smaller players struggle to compete with well-funded incumbents. Industry experts predict continued workforce optimization across the sector as companies prioritize sustainable business models over rapid expansion.

Automation and AI adoption are accelerating throughout the e-commerce ecosystem, fundamentally changing workforce requirements. Companies that successfully balance technological innovation with strategic human capital deployment are expected to emerge stronger from this transitional period.

Conclusion

Blibli's decision to reduce its workforce by 400 employees represents a strategic recalibration rather than a sign of fundamental business distress. The company is positioning itself for long-term sustainability by embracing automation, focusing on core competencies, and optimizing operational efficiency. While challenging for affected employees, these changes may strengthen Blibli's competitive position in Indonesia's evolving e-commerce landscape.