Over 8000 employees in India laid off by Meesho, Ola, Unacademy and other startups

• ByStartupStory     |    May 28, 2022

Prominent startups like Unacademy,Meesho ,Ola, Vedantu including others have laid off large figures of workers from their company. The reason being not so explicit but it is said that it is a result of cost-cutting.

To be exact in numbers Ola has laid off 2100  employees in the first quarter of 2022, 926 employees from Unacademy whereas Vedantu( 7% of its total employees) and Cars24(6% of its total workforce) have laid off more than 600 employees and most of it without any prior notice as reported by the employees.

Despite 100 Million users and 6 lakhs user base, Meesho too had to take the tough call of removing 150 employees . The startup mentioned that it will offer severance packages and outplacement assistance.

In their blog post, Meesho explained the lay off by the statement that”As we look to boost the edge in the light of the integration, a small number of full-time and certain third-party positions on six-month contracts at Meesho Superstore were reassessed to remove redundancies from the core business. To support those impacted by this restructuring, Meesho is offering severance packages and outplacement backing to help them secure new opportunities outside the company. The redundancies do not impact any positions at the core Meesho marketplace business, where we continue to hire and raise talent.” 

The global economic downturn ,decline in funding and the inability of companies to handle investor pressure have been said to cause such scenarios.The ongoing conditions like sustained inflation, conflicts, geo-political instability is also said to have  limited the performance of the companies.

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