Online travel agency Agoda has cut jobs across its customer experience group (CEG), affecting employees in Singapore, Shanghai and Budapest.
The decision was conveyed during a closed-door virtual town hall on 4 August 2025, according to an anonymous source identified as a former employee.
Around 50 staff in Singapore were among those impacted.
Roles eliminated across functions
Management informed attendees that all CEG roles at the three locations would be eliminated.
The official reasons cited were “cost” issues and “recruitment challenges”.
Positions from customer service specialists to regional managers were affected, said the source.
The meeting reportedly disabled chat functions and microphones, limiting staff interaction.
New sites open in lower-cost markets
The retrenchments follow Agoda’s expansion into lower-cost destinations.
Over the past year, new CEG centres were established in Gurgaon, Foshan and Cairo.
Although management had previously stated these were not replacements, the timing of the expansion raised questions among staff.
Operating costs in India, China and Egypt are lower than in Singapore and Europe.
Concerns over workforce quota
According to the former employee, internal meetings had suggested that the Singapore-based CEG was primarily established to meet local workforce quota requirements.
This arrangement enabled the company to hire more foreign talent in IT and engineering roles.
Employees seeking career progression were encouraged to relocate to sites such as Bangkok.
The source suggested that changes in S Pass regulations could have contributed to the downsizing.
From 1 September 2025, new S Pass applications will need a qualifying monthly salary of S$3,300, according to the Ministry of Manpower (MOM).
Renewals will transition to the same threshold from September 2026.
Severance agreement restrictions
Employees affected by the layoffs were offered one month of severance per year of service, along with garden leave until 3 September 2025.
A page from the severance document, shared with media, contained clauses preventing staff from filing claims, pursuing legal action or contacting government agencies, unions or statutory bodies such as MOM or the Tripartite Alliance for Fair and Progressive Employment Practices (Tafep).
Any breach would require repayment of severance payments and legal costs.
The document also stipulated that individuals remove all references to Agoda from LinkedIn and other online profiles.
Relocation of headquarters spending
The anonymous source highlighted what appeared to be contrasting priorities.
While cost-cutting was given as the rationale for retrenchments, Agoda is preparing to relocate its headquarters in Bangkok to the new One Bangkok development, replacing its existing Agoda Central World office.
In a previous town hall, Agoda’s chief executive reportedly stated that the company would “spare no expenses for the new office”.
The Online Citizen has reached out to Agoda, MOM and Tafep for comments.
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