Edtech layoffs continue; WhiteHat Jr fires 300 employees
WhiteHat Jr, acquired by BYJU'S for $300 million in 2020, has become the latest edtech startup to lay off employees, citing 'cost-cutting measures with long-term stability and growth in mind'.
Code-teaching platform ., which was acquired by edtech decacorn in 2020 for $300 million, has fired around 300 employees in a cost-cutting measure. This news comes on the heels of similar layoffs from Udaan yesterday, and amid a spate of edtech layoffs this year.
According to a report in Economic Times, the employees were largely from the code-teaching and sales teams. Eighty of the laid-off employees were from the newly opened Brazil office, where BYJU'S was hoping to expand its "Future School" offering. The Brazil offices opened in April 2021.
The employees were offered a month's worth of salary compensation.
This move comes amidst a wider startup spate of mass layoffs in 2022. Edtech firms, in particular, have been badly hit, with Unacademy and Vedantu together firing more than 2,500 employees in recent months.
According to a WhiteHat Jr spokesperson, the employee reduction was due to cost-cutting measures with long-term stability and growth in mind.
“WhiteHat Jr is focused on providing quality education to young students while continuing to build a strong business. To realign with our business priorities, we are optimising our team to accelerate results and best position the business for long-term growth,” a spokesperson from WhiteHat Jr told ET.
Edited by Teja Lele