Niche technology recruitment site Andela.com has announced its decision to permanently transition to remote work, as well as the closure of all its offices across Africa. The company will also stop its developer training program in favor of a recruitment-based model.
The announcement was made by CEO Jeremy Johnson, who cited the impact of Covid-19 on customers and operational expenditure.
“..It has become clear that we will see attrition from our customer base and lower than expected growth. As a result, we were forced to make the difficult decision to reduce costs and ensure we’re ready for what will likely be a tough year,” Johnson said.
The development comes on the back of a round of layoffs that saw 10% of its 1,350 employees relieved of their duties.
Andela trains job seekers to be software developers and connects them with potential employers, most of which are in the U.S. In order to reduce costs, the company announced it will no longer train developers. Instead, it will onboard top engineers from across the continent and, eventually, around the world.
Andela was founded in 2014 in Lagos, Nigeria and had expanded to five countries before the pandemic hit the continent. The talent recruitment company has raised $181 million U.S. in funding from a variety of venture capital firms. Its largest funding round came in January 2019 when it raised $100 million in Series D funding, making it one of Africa’s best-funded tech companies.