microsoft backed logistics startup fareye lays off 90 employees, second job cut in 8 months
Last updated on October 7th, 2023 at 06:06 am
End-to-end global delivery management platform FarEye has become the latest company to contract its workforce amid the economic meltdown, firing 90 employees across countries in its second round of layoffs in about eight months.
The latest round of job cuts took place earlier this week and impacted employees across departments, including sales, product, tech, and HRBP, leading startup portal Inc42 reported.
Co-founder and CEO Kushal Nahata blamed macroeconomic headwinds for the layoffs, adding “the reduction in staff was necessary to align business strategy with market demand and continue to serve our customers’ business needs.”
The startup has offices in a number of locations, including India, Singapore, Dubai, the UK, and the US. It said it has offered impacted employees severance packages according to local regulations.
FarEye, founded by Nahata, Gaurav Srivastava, and Gautam Kumar in 2013, sacked around 250 employees across departments in June last year. The layoffs were no less than a shock because they came at a time when employees were expecting appraisals. The logistics sector was also one of the booming sectors during the pandemic.
Some employees at the time blamed the extensive hiring carried out by the company after its Series E fundraising for the reduction in the workforce. The job cuts came almost a year after FarEye raised $100 million in its Series E round from TCV and Dragoneer.
The logistics startup helps solve complicated last-mile delivery issues. Some of its major clients include Domino’s Pizza, Tata Steel, Hilti, and Amway, while marquee investors, such as Microsoft’s M12 Fund, Honeywell, Eight Roads Ventures, and Elevation Capital, are its backers.