In the Cutthroat Delivery App Competition, 3rd Place 'Yogiyo' Announces First Voluntary Retirement Program

Yogiyo, which has fallen to third place among delivery apps behind Baedal Minjok and Coupang Eats, is implementing voluntary retirement for the first time to reduce costs.

Yogiyo's operator, Weidaehan Sangsang, announced on the 28th that it sent voluntary retirement guidance emails to employees. There are no restrictions on rank, position, length of service, or age for voluntary retirement candidates. Those who wish to apply can do so from the 2nd to the 13th of next month, and after screening, will retire by the 27th of next month.

Yogiyo will provide voluntary retirees with a retirement consolation payment equivalent to four months of fixed monthly salary. Employees with less than one year of service will receive a lump sum proportional to their working days based on four months of fixed monthly salary. Career counseling or interview coaching for job transition will be supported, and psychological counseling will also be provided for three months.

This is the first time Yogiyo has implemented voluntary retirement since the company's establishment in 2011. The number of employees once reached 1,100, but after some retirements, it is currently around 1,000.

Weidaehan Sangsang, the operator of Yogiyo, has not escaped from deficits. Last year, the consolidated operating loss was 65.5 billion KRW, a 41% decrease from the previous year's 111.6 billion KRW. The net loss recorded was 484.1 billion KRW. Last year's sales were 285.7 billion KRW, an 8.2% increase compared to the previous year's 264 billion KRW.

A Yogiyo official explained the background of implementing voluntary retirement, saying, "The market situation is very unfavorable, and cutthroat competition is difficult."

Yogiyo lowered the subscription fee for its subscription service YogipassX, which offers free delivery benefits, from 9,900 KRW per month to 4,900 KRW last November, and further reduced it to 2,900 KRW in March. This month, the delivery brokerage commission was also lowered from the previous 12.5% to 9.7%, which is 0.1 percentage points lower than Baemin and Coupang Eats.