Indian ride-sharing company Ola has begun consolidating its multiple software divisions, which might lead to the firing of at least 500 staff members, according to CNBC-TV18.
The change occurs as sales of the Ola Electric scooter company, which began in December of last year, are decreasing. Ola told CNBC-TV18 that it was anticipated that 200 employees will be affected, but unidentified sources said that the number will really be greater.
The company said that while it puts more emphasis on “non-software engineering areas” of its electric vehicle subsidiary, it also plans to raise the number of engineers from 2,000 to 5,000 over the next 18 months.
In the past, Ola fired up to 2,000 workers after closing numerous businesses, including the used-car vertical Ola Cars and the fast commerce unit Ola Dash.
Ola’s scooter sales decreased from 12,691 in April to 3,351 in August, the lowest number it recorded in the previous six months, as the company dealt with concerns about software, battery performance, and servicing difficulties. The business wants to alter its online direct selling technique in addition to reducing its resource usage.
