28.1 C
Indore
Tuesday, August 9, 2022
Home Gadgets Udaan fires 180-200 staff, 5% of its workforce, to cut costs

Udaan fires 180-200 staff, 5% of its workforce, to cut costs


Enterprise-to-business (B2B) ecommerce startup Udaan has laid off 180-200 employees, or 5% of its workforce, an individual briefed on the matter mentioned. In a city corridor with the employees on Monday, the corporate termed the lay off as “uncommon”.

An organization spokesperson confirmed the event to ET with out disclosing the variety of staff it fired.

“Because the market evolves, we proceed to tweak our already confirmed enterprise mannequin to make it stronger, extra environment friendly, customer-centric and agile. On this route, now we have taken numerous steps to boost effectivity, refine our price construction and develop sooner in our journey to realize sturdy unit economics,” the corporate mentioned in an announcement. The “effectivity enhancement train” has resulted in sure redundancies, with some roles not required, it added.

The layoffs come on the again of chief government
Vaibhav Gupta telling his staff in an internal note that the corporate had hit a optimistic contribution margin within the final quarter of fiscal 2021 and was on observe to turn out to be unit economics optimistic within the ongoing quarter ending June 30. ET reported concerning the growth on June 15.

“Slicing folks price can also be a part of the journey to be extra prudent economically,” an individual conscious of the matter mentioned.

Owing to a broader slowdown in big-ticket funding, numerous startups together with Unacademy, CityMall, Vedantu, Cars24 and others have fired greater than 4,000 staff in whole over the previous few months.

Uncover the tales of your curiosity


Startups layoffs mount in 27 June 2022_Graphic_ETTECH

Udaan lately closed a $225 million debt financing spherical via convertible notes and Microsoft is among the traders,
ET
reported on April 18.

In an
interview
with ET in February, Gupta mentioned the DST World-backed startup had made “large enhancements” in its unit economics and that Udaan is aiming to go public by Might 2023.
Gupta was
made CEO last year.

The layoffs at Udaan come at a time when different firms within the area have been elevating funds, together with ElasticRun, ShopKirana, and 1K Kirana.

Based in 2016, Udaan is within the enterprise of promoting groceries and different items to native mom-and-pop shops throughout the nation. Based by former Flipkart executives Sujeet Kumar, Vaibhav Gupta and Amod Malviya, it was the quickest firm to realize unicorn standing as of 2019.

Keep on high of technology and startup news that issues. Subscribe to our each day e-newsletter for the most recent and must-read tech information, delivered straight to your inbox.

Most Popular

“7-Party Grand Alliance”: Nitish Kumar, Tejashwi Yadav Reunite: 10 Facts

<!-- -->Nitish Kumar met with Tejashwi Yadav after handing over his resignation as Bihar Chief Minister.Patna: Nitish Kumar ditched the BJP right this...

Watch: Windshield Smashed Just In Time For Flood Rescue In Karnataka

<!-- -->Locals rescuing two individuals within the automotive in Chikkamagaluru district.Bengaluru: Locals broke the windshield and pulled out two individuals simply in time...

How To Make South Indian-Style Egg Paniyaram For A Quick Breakfast

A wholesome and nutritious breakfast is all that we have to kick-start our day. And, what's higher than having a South Indian delicacy...

Maharashtra Cabinet: Sanjay Rathod’s Entry Leads To Friction As BJP Cites Suicide Case

<!-- -->Legislator from Digras in Yavatmal, Sanjay Rathod was accused in girl's suicide in Pune..Mumbai: Inclusion of Sanjay Rathod — a insurgent Sena...

Recent Comments