INDIA: In 2022, some major, popular companies are laying off their employees. Some of these layoffs have stunned the business world as they are reaching thousands of employees at once. The reason for the layoffs varies, from cost-cutting to bad performance to financial difficulties. We bring you the top edtech companies’ layoffs this year.
As the Indian edtech company warns of challenging economic conditions, Unacademy has reduced 10% of its workforce, or 350 roles, in its second round of layoffs this year.
In April this year, the Unacademy, with its headquarters in Bengaluru and a $3.4 billion valuation, slashed 1,000 full-time and contractual positions.
BYJU’S, the most valuable unicorn in the Indian edtech market, recently announced it would fire 2,500 workers, or about 5% of its workforce.
This comes shortly after BYJU closed its branch offices and centres in nearly 60 Indian cities, which alarmed thousands of executives there who feared losing their jobs. The edtech behemoth previously reported having 50,000 employees.
High-profile MOOC platform Coursera joins the list as it is firing staff members, though a company representative would not say how many employees were let go.
Coursera CEO Jeff Maggioncalda announced the company’s decision to decrease staff in a public letter on Wednesday as it deals with “lower growth rates and environmental unpredictability.” He said that all impacted employees had received individual notifications from the company.
Brainly, an online community learning platform backed by the Dutch company Prosus, is said to have let go of 30 or so employees in India. Due to economic challenges, the corporation has let go of a sizable portion of its workforce globally.
According to sources, the organization sacked nearly the entire 35-person Indian staff that worked at the UB City office in Bengaluru. According to its LinkedIn profile, Brainly had over 860 employees worldwide as of September.
Vedantu, the unicorn of edtech, let go of about 100 workers in July as part of a corporate restructure. According to sources, Vedantu requested that full-time workers from numerous teams submit their papers between July 4 and July 9.
Employees from teams like sales and training were among those affected. According to the sources, the startup will provide a two-month salary as severance pay.
Though it raises concerns over the educational technology sector’s situation, experts said the future does not look as ominous or dire as it is being made to look, as the industry is poised to reach $4 billion by 2025 and $30 billion by 2032.