Tech businesses are having a difficult time. Financial losses for FY21 are forcing IT companies to restrain spending, halt hiring, and, in the worst circumstances, fire workers for subpar work. Byju’s, a tech business, has announced the termination of 2,500 employees. Over the course of the next six months, the company will phase in 5% of its 50,000 employees across divisions such as product, content, media, and technology.
To manage budget spending and reduce marketing and operational costs, a mass layoff was announced. Byju’s, considered to be the most valuable startup in India, experienced a revenue loss of Rs 4,588 crore. According to PTI, Byju’s is also unifying all of its K10 subsidiaries under one corporate unit, including Meritnation, TutorVista, Scholar, and HashLearn. Aakash and Great Learning will carry on operating as separate companies in the interim.
“By March 2023, we want to be profitable thanks to a plan we’ve created. We have significantly increased brand recognition across India, and there is still room to cut costs while prioritising spending in a way that leaves a lasting impression around the world. The integration of several business units comes in second and operational cost comes in third “Divya Gokulnath, a co-founder of Byju, spoke to PTI.