Get All Access for $5/mo

Byju's Begins Layoffs To Impact 1000 More Employees The fresh round of firing comes at a time when the company has entered into a legal battle with lenders in the US for a $1.2 billion term loan B

By Teena Jose

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

Twitter

Indian edtech unicorn Byju's has started another round of layoffs which will impact nearly 1000 employees across various departments. The fresh round of firing comes at a time when the company has entered into a legal battle with lenders in the US for a $1.2 billion term loan B.

According to a report by Moneycontrol, the HR team at Byju's held individual discussions with employees and in-person meetings to communicate about their job cuts. It is also said that the edtech firm decided to cut jobs with an aim to improve its finances.

After the discussions, employees were given the option to resign voluntarily on the official HR portal. The email accounts were deactivated and they asked to submit their official identity cards, as per the report.

BYJU's had announced cutting about 5% of 2,500 employees over six months starting October 2022 as it unveiled the company's plan to become profitable by March 2023. In the past year alone, the company has cut close to 3,000 jobs. The company last year announced that it was aiming to achieve profitability by March 2023, and will cut 2,500 jobs. It is yet to file its financial results for FY22. Apart from 2,500 job cuts, last year it also laid off 500 jobs across Toppr and WhiteHat Jr.

"BYJU's has laid off close to 1,000 employees. However, the final headcount of the company remains around 50,000 because of the addition of new employees," the PTI reported, citing the sources aware of the development.

Reportedly, the edtech major decides to pay two months' salary for June and July to all affected employees, adding that a full and final settlement will be made by September-October, almost 45 days after July.

The edtech major had also announced recently that it will launch an initial public offer (IPO) of its subsidiary, Aakash Education Services Limited (AESL) mid next year. According to the company, AESL's revenue is on track to reach INR 4,000 crore with an EBITDA of `900 crore in the fiscal year 2023-24.

Teena Jose

News Desk Reporter with Entrepreneur India

Teena is a post graduate in financial journalism. She has an avid interest in content creation, digital media and fashion.
News and Trends

"45% of All Ongoing Hydropower Projects in India are Ours": Patel Engineering

Patel Engineering reported a turnover of INR 4,400 crore in the last fiscal year, with a projected 10 per cent growth for the current year.

Side Hustle

'Hustling Every Day': These Friends Started a Side Hustle With $2,500 Each — It 'Snowballed' to Over $500,000 and Became a Multimillion-Dollar Brand

Paris Emily Nicholson and Saskia Teje Jenkins had a 2020 brainstorm session that led to a lucrative business.

News and Trends

Broadcom Stock Soars on AI Growth Outlook

Broadcom's next-generation AI chips, built with advanced 3-nanometer technology, are set to debut in the spring

Leadership

Should I Stay or Should I Go? 8 Key Points to Navigate the Founder's Dilemma

Here are eight key signs that help founders determine whether to persevere or let go.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.

Science & Technology

5 Rule-Bending AI Hacks to Make Your Mornings More Productive and Profitable

By 2025, AI will transform productivity by streamlining workflows and cutting costs. Major companies like Microsoft, Google, and OpenAI are leading the way, advancing AI into "Phase 3," where tools act as digital assistants. Discover 5 AI hacks to boost efficiency and redefine your daily routine.