Saarthi.ai Faces Employee Layoffs and Salary Withholding Amid Investor Pressure

• ByStartupStory     |    July 21, 2023

Bengaluru-based AI tech support startup, Saarthi.ai, has been facing challenges as it grapples with investor pressure to achieve profitability. As a result, the company has reportedly laid off employees and withheld salaries, causing concern among the affected staff.

Founder and CEO Vishwa Nath Jha acknowledged the layoffs, stating that the company had to restructure its team due to technological advancements and the need to automate certain tasks to meet investor demands for profitability. However, he did not disclose the exact number of employees impacted by the layoffs.

In response to the salary withholding issue, Jha clarified that the full and final settlement for some early batches of employees who were let go has already been cleared. He assured that the remaining employees’ salaries will be settled within 90 days, as per the company’s policy, and the company is actively working with investors to resolve the matter.

While an employee on social media claimed that the salary withholding has affected a significant number of staff, the exact figures have not been independently verified. The employee expressed concerns about the delay and uncertainty surrounding salary payments.

Saarthi.ai is not the only startup facing challenges related to employee salaries and investor pressure. Other companies, such as Dunzo and Dukaan, have also encountered similar issues, highlighting the complexities startups often face in achieving profitability and managing human resources during growth phases.

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