byju’s to lay off 4,000 workers; who all are at risk
Byju’s, an Indian multinational ed-tech company, is set to lay off 4,000 workers in the latest round of layoffs. This move can affect various workers at the department, according to sources familiar with the matter.
The layoffs come as part of a restructuring exercise. The company is already facing a severe funding crisis.
Arjun Mohan, who recently joined as chief executive officer (CEO) of Byju’s, has planned the restructuring exercise, which can affect many workers at the company.
Byju’s will lay off more than 11 per cent of its total workforce, which accounts for nearly 4,000 workers. The layoffs will be conducted over the next few weeks. Currently, the company has about 35,000 employees. The ed-tech firm is already in the final stages of a business restructuring exercise.
Byju’s spokesperson said, “We are in the final stages of a business restructuring exercise to reduce the cost base.”
Who all are at risk?
Byju’s can lay off workers on a performance basis in order to drive cost efficiency. The recent layoffs can also affect a few departments and some third-party workers as part of its cost-cutting measures.
Byju’s has been laying off workers in recent months because the company is facing a markdown in its valuation. The company can also lay off more workers in the future. Workers on a contractual basis are facing huge risk.
Byju’s laid off around 1,000 workers in June. The ed-tech company also delayed their salaries. Those employees would receive their salaries by the end of November.
Last year, the company announced it would lay off around 2,500 workers. Subsequently, the company laid off 600 workers. In August this year, the company laid off 100 workers from the mentoring and product expert division.
The company has currently raised a total funding of $5.8 billion from different investors.