Indian BeehiveNews

‘Lay-offs’ seem to continue in 2023

Even in 2023 the trend of “employee layoffs’ continues, with the daily average being 1600 employees that are being fired in the tech sector. Amidst these layoffs, Swiggy is also planning to ‘restructure’ its team by letting go of between 8% to 10% of its workforce which will be about 480 to 600 employees. According to a few reports, Swiggy is looking to generate more revenue and stabilize the company’s finances before considering opening its initial public offering (IPO).

Swiggy’s parent company, Bundl Technologies were facing losses although they managed to consolidate their position. From total revenues being Rs 1,616 crore in 2021, it saw an increase to Rs 3,628 crore by 2022.

Similar to other foodtech unicorns Swiggy is also restructuring its company internally and has further asked its current employees to focus on increasing business generation. A few months back although Swiggy had stated that only about 3% of its employees will be laid off that number increased.

Initially, the company’s IPO was delayed due to an improper filing of preliminary papers with SEBI (security exchange board of India) although it was delayed further as tech stocks globally performed poorly when it was realized that the company’s performance was inadequate in the tech stock. Several other startups that have also laid off many of their employees include Byjus, Hubilo, Medibuddy, etc. It has also been noticed that the maximum number of layoffs have been conducted in the edtech sector. The numbers that have been laid off are as high as 8000 plus employees.

 

 

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