BYJU’s has undergone a fresh round of layoffs, letting go of over 1,000 employees, people aware of the matter told Business Today on Wednesday. An employee working in the engineering team at the company told Business Today, “Today morning, people were laid off in every tech team. Byju’s Layoff: 15% employees job cut in Byjus.
Steep cuts happened in my team too. In total, 15 per cent of all engineering teams have been fired, over 1,000 employees.”A laid-off employee, a fresher, claims that the company has laid off all freshers. The fresher said, “All freshers have been fired by BYJU’s in this layoff.”
The company’s current employee also said that in October last year 30 per cent of the tech and engineering team were laid off. He said, “In the previous layoff round, 30 per cent of the engineering team was fired. This time additional 15 per cent have been terminated.”
BYJU’s for comments on the abovementioned claims on Wednesday. The copy will be updated with their response. In October, the company said it had laid off 5 per cent of its total employees, amounting to 2,500 employees out of 50,000 strong workforce. The company’s founder Byju Raveendran justified the layoffs saying it was a critical step for the company to become profitable.
As per financial statements of FY21, loss of Rs 4,589 crore, the largest-ever reported by an Indian startup. The company’s revenues had fallen 3.3 per cent. Interestingly, the FY21 financials of the company were delayed by almost 18 months, much to the annoyance of the Corporate Affairs Ministry.
BYJU’s spent more than Rs 2,500 crore on advertising and marketing in FY21. The company spent $40 million (Rs 330 crore) to become the official sponsor of the FIFA World Cup. The company became the lead sponsor of the Indian cricket team after taking over the sponsorship from Oppo in 2019. They paid Rs 4.61 crore per bilateral match and Rs 1.51 crore per match. They also renewed their contract with the Board of Control for Cricket in India (BCCI) for a reported $55 million (Rs 454 crores).
BYJU’s, however, announced it would not renew partnerships with BCCI (Board of Control for Cricket in India), ICC (International Cricket Council), and FIFA (Federation Internationale de Football Association).
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