As part of its reorganisation process, edtech giant Byju’s has laid off an approximate of 1,000 employees across divisions, according to the sources from the company on Monday.
“Byju’s has let go of about 1,000 workers. However, due to the hiring of new personnel, the company’s total workforce still hovers around 50,000, a source told PTI.
Employees were laid off via phone calls and in-person meetings on June 16, according to speculation. Members of the platform, brand, marketing, business, product, and tech departments reportedly suffered layoffs.
Byju’s had announced laying off roughly 5% of its 2,500 employees over a six-month period beginning in October 2022 as part of the company’s strategy to turn a profit by March 2023.
The insider claimed that the most recent layoff was a result of the company’s efforts to reduce costs. To confirm this fact an email query was raised but has not been answered yet.
However, BYJU’S has recently been struggling with legal and financial issues. Over 60% below its peak price, Blackrock reduced the company’s worth to $8.2 billion last month. Before that, in March, the investment management firm had reduced the startup’s valuation to $11 billion. BYJU’S is also engaged in litigation with creditors seeking early repayment of a $1.2 billion loan in US courts.