Honestbee says its S’pore operations unaffected by business review

SINGAPORE — It is business as usual in Singapore for homegrown start-up Honestbee, even as the food and grocery delivery company suspends some overseas operations and slashes its global headcount.

The firm said this on Tuesday (April 30) in response to queries after reports surfaced that it was having financial difficulties and was in acquisition talks with ride-hailing companies Grab and Go-Jek.

Honestbee also refuted claims that it owed its workers salaries.

“As part of an ongoing strategic review of our business, we are halting our services in Hong Kong and Indonesia, as well as our food vertical in Thailand,” a company spokesperson said.

“Our services in Japan and the Philippines, along with specific partnerships in other markets are also temporarily suspended as part of this review. This is necessary to help us focus and align our regional business, and more importantly, to enable us to better meet our customers’ needs.

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“The status of honestbee's business in the remaining markets stands unchanged.”

The spokesperson added that about 10 per cent of Honestbee’s global headcount would be affected by the review, and that some roles within the organisation would no longer be available.

“There have been media reports regarding payroll delay for our employees. We would like to stress that this is untrue,” the spokesperson said.

“We will ensure that all employees across all markets, including Singapore, are paid in a timely manner.”

Honestbee said in January that it had “temporarily paused” its partnership with Singapore supermarket chain NTUC FairPrice.

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In response to queries from TODAY, a FairPrice spokesperson said that the suspension had occurred due to a review of existing operations and collaboration process. However, the spokesperson assured customers that they could continue to shop for FairPrice groceries through its online portal and mobile application, FairPrice On, as well as its stores.

FairPrice did not respond to the question on when the partnership would resume.

An employee of online grocery store Shivsagar, a vendor of Honestbee, said that the company had been consistent in its payments.

An Honestbee employee who spoke to TODAY on condition of anonymity said that he had received his latest salary on time.

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“There was no indication of financial issues... and Honestbee was continuing to hire people,” the employee said.

But he added that if there is a delay in salary payments, or if he does not see growth, he will leave Honestbee.

Separately, spokespersons from Grab and Go-jek said that they will not comment on talk that Honestbee is negotiating an acquisition deal with their respective companies.