Daraz Group, Alibaba' s South Asian e-commerce arm that operates in five markets including Bangladesh, has announced that it is letting go of "many" employees but stopped short of disclosing the number.

"After much deliberation, we collectively arrived at the decision to adopt a more streamlined and agile structure. Reluctantly, we will bid farewell to many valued members of the Daraz family," Darwz said in a statement.

Officials of Daraz Bangladesh, wishing anonymity, said many employees in Bangladesh are also on the list for termination.

Daraz Group has organised a town hall at around 12pm today and Daraz Group CEO James Dong informed the employees about the imminent laying off. 

Dong took over the role of Daraz's chief executive in addition to his existing responsibilities last month after Bjarke Mikkelsen stepped down.

Daraz is the largest e-commerce platform in Bangladesh, employing around 900 staff full-time. 

"This decision was taken as a last resort," the statement said. 

"Over the past couple of years, we have worked to manage costs and improve operational efficiency substantially. Despite our efforts to explore different solutions, our cost structure continues to fall short of our financial targets."

"Facing unprecedented challenges in the market, we must take swift action to ensure our company's long-term sustainability and continued growth." 
Last year, Daraz Bangladesh laid off dozens of employees as its mother organisation, Daraz Group, reduced its workforce by 11 percent in order to cope with the "current market reality".