Subscription commerce firm Milkbasket to lay-off upto 30 percent employees: Report
Three sources with knowledge of the situation told the media that subscription commerce company Milkbasket plans to lay off 25–30% of its 600-person workforce, including the entire offline marketing, sales, and head office teams, shortly after the departure of its top three executives.
The action will probably be followed by Reliance introducing a new “Jio Smart Daily” platform and gradually discontinuing the Milkbasket brand.
“Milkbasket has also asked most of the employees to resign and explore opportunities outside the company in the next few weeks,” said one of the sources on condition of anonymity. “Reliance Retail will try to accommodate Milkbasket’s teams across group companies but several hundred staff [members] will be impacted in this exercise.”
The second source, who also asked to remain anonymous, added that Jio Smart is anticipated to acquire the remaining members of the Milk Basket team.
This person claims that Reliance Stores and Bazaar will merge with Milkbasket’s operations department.
Milkbasket has experienced a churn at the top and mid-level positions over the last three to four months. Following the integration with JioMart, Milkbasket’s co-founder Yatish Talvadia, along with Chief Operating Officer Abhinav Imandi and Chief Financial Officer Gaurav Srivastava, departed.
Reliance announced the purchase of a 96.49% stake in Milkbasket in October 2021 as part of its FY22 second-quarter results.
Following the acquisition, Reliance assisted Milkbasket in expanding to 30 cities nationwide; however, the company had previously focused primarily on the Delhi-NCR region.
