- Three months following the discontinuation of Barter, Flutterwave has reduced its workforce by approximately 30 employees, equating to about 3% of its total staff.
- Although Flutterwave did not disclose specific details regarding the affected teams, the impacted roles are reportedly linked to products that are no longer part of the company's strategic focus.
- This development follows Flutterwave's recent announcement about repositioning its business to concentrate on remittance and enterprise services, which are its primary revenue drivers.
Per a statement seen by TechCabal, “After a thorough analysis of our strategic priorities, including a renewed focus on enterprise customers and remittances, we came to the conclusion that some roles within the organization are redundant.”
The company intends to provide an average of three months' gross salary, varying by the employee's country of residence, and will also compensate for any unutilised accrued leave days.
Since its inception eight years ago, Flutterwave says it has not implemented a workforce reduction plan. However, this step has become necessary to align current resources with its future strategy and enhance operational efficiency.
In March 2024, the fintech announced the discontinuation of Barter, its virtual card service, just three weeks after declaring that Disha, a no-code platform, would be temporarily closed on March 31, 2024.
The company attributed the platform's closure to evolving customer needs and market trends, noting that Barter represented only 1% of Flutterwave's $2 billion transactions.
In April 2024, Flutterwave allegedly suffered a security breach resulting in a loss of ₦11 billion. The perpetrators illicitly transferred ₦11 billion ($7.2 million) to multiple accounts in amounts small enough to avoid fraud detection. Despite this breach, the company confirmed that customer funds were not impacted.
While Flutterwave is reducing its workforce in Nigeria, the company disclosed, in May, that it had approval-in-principle for a payment aggregator licence from the Bank of Mozambique. This approval enables Flutterwave to expand its operations into southern African markets and offer its payment services in Mozambique.
Additionally, last week, Flutterwave announced a partnership with Nigeria's Economic and Financial Crimes Commission (EFCC) to construct and equip a state-of-the-art Cybercrime Research Center. This initiative aims to intensify the fight against internet crime and enhance the security of online transactions.
