LAGOS, Nigeria – Bolt Nigeria has dismissed 22 of its 45 employees, affecting nearly half of its workforce in the country, including key senior management for the first time.
In an exclusive, TechNext revealed that this major cut has impacted all Bolt’s operational staff in Warri and Port Harcourt, with nearly the entire team in Edo State also laid off, leaving just one employee.
The layoffs are part of a broader effort to reduce costs and enhance profitability amidst tough economic conditions.
“The job cuts in recent times are really about cutting costs to make the company more efficient and profitable,” revealed a source close to the matter.
The economic situation in Nigeria has put considerable strain on Bolt’s operations. High fuel prices, increased costs for spare parts, and inflation have severely impacted the ride-hailing market.
According to the source, these factors have led to reduced earnings for drivers and fewer completed trips by customers, who cannot afford to pay for rides due to low purchasing power.
Amidst these layoffs, Bolt Nigeria is preparing to introduce new security measures for riders and drivers, including NIN and selfie verification, signalling an ongoing commitment to the Nigerian market despite the current challenges.
In response to inquiries about the layoffs, a Bolt spokesperson explained that the company is not conducting layoffs per se but is discontinuing collaboration with 22 employees as part of a restructuring effort.
“We have made the difficult decision to discontinue collaboration with 22 employees in Nigeria. This decision comes as we have been going through the process of restructuring a considerable number of customer support and operational processes in the country,” the spokesperson told Technext.
Bolt has offered severance packages to those leaving, designed to support their transition to new career opportunities.
Despite the layoffs, the company maintains that the quality of its products for riders and drivers will not be compromised and expressed a strong belief in the potential of the Nigerian market.
This restructuring follows a previous reduction in February 2023 when Bolt laid off nearly a third of its workforce in Nigeria. The layoffs mostly affected junior and mid-level staff, contrasting the current wave affecting senior management.
The company’s People Manager, Afolake Ismaila, noted that the layoffs were necessary due to restructuring of Bolt’s Nigerian operations.
The severance packages provided were based on the duration of employment with the company, aiming to cushion the blow for affected employees.
As Bolt continues to navigate these turbulent economic waters, the future of its operations in Nigeria hangs in the balance, with potential further reductions or strategic adjustments likely unless economic conditions improve significantly.
