Byju’s and Novartis (Switzerland-based healthcare company) are in the headlines for removing more than 8000 employees. Around 2500 employees were laid off from the group companies of Byju’s.
Both, Whitehat Jr. and Toppr, asked employees to either resign or face forceful termination on Monday.
What did Byju’s and Novartis Say About Massive Layoffs?
via:medicaldialogues
Novartis explain the reason behind lay offs. It said that they are restructuring the organization by integrating its oncology and pharmaceutical business. For this, they are eliminating redundant roles and also aim to save $1 billion.
However, it means huge loss of 8000 jobs globally and 1,400 in Switzerland alone. In other words, the company is reducing 7.4% of workforce around the world.
On the other hand, Byju’s has also laid off over 2500 employees as per Moneycontrol. But, the company denied expelling such a massive workforce. Byju’s said there is misinformation in the news presented by Moneycontrol.
.@whitehatjunior, owned by @BYJUS, has laid off another 280-300 employees, after earlier letting go of over 800 #employees in May, according to sources in the know.
Find out more 👇https://t.co/CpQ9lMjpFb
by @Unibrowverse & @patwardhannn | #LayOffs #Byjus #WhitehatJr pic.twitter.com/rlrP9GtLST
— Moneycontrol (@moneycontrolcom) June 29, 2022
The layoff of employees is only a part of recalibration and optimization of Byju and its group of companies.
Byju’s Clarification on Lay offs
The company’s spokesperson also clarified that only less than 500 employees have been eliminated. But, as per news agency PTI, around 36% of the Toppr’s workforce was fired.
Earlier, more than 1000 of Whitehat Jr.employees from India and Brazil left the company. Although the exact figure is not disclosed by the company; Byju claim it to be 500.
Resignation of employees from marketing, sales, teaching, and other operation category began a week ago. Spokesperson of Whitehat Jr said long-term growth is their focus and they are realigning business priorties.
They will be continuing building strong community for students and teacher. Also, investing on training and recruitment will be continued.
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Employees Claimed Forced Resignation
via:thehindubusinessline
There is a different side of the story as well. As per employees, the top management assured growth and ample opportunities in the company. But, opposite happened and they were forcefully asked to leave the company.
Management asked for resignation on call or else they will face termination, said employees of Toppr. Company did not even give them time to serve the notice period.
Lay off was immediate but with a promise of one month salary. Whereas, no salary for employees who don’t resign. This massive resignation and layoff have sparked anguish among employees.
Also Read: List of Unicorn Startups: Top 5 To Enter The $Bn Club
via:navbharattime
As per a report in first post, employees who have worked at Whitehat Jr said they were already getting indication about the loss. Online learning business is still not good enough to match the importance of offline classes.
Now, the company has reduced team of solution-writing, content and design. Both contractual and full-time employees were fired as per Moneycontrol.
Their contract was said to end before this year but they were asked to leave before that period.
via:inc42
Not just Byju, other edtech startups are following the same and reducing workforce. Reasons are not different, the reopening of schools and institutions are affecting the industry.
Around 10,000 employees from Unacademy, Udayy, Lido, Front Row, and Vedantu are laid off.