Udaan lays off 180-200 employees, 5pc of total workforce
B2B ecommerce startup Udaan has become the latest unicorn to lay off employees amid the market uncertainty and a funding winter.
B2B ecommerce startup is laying off 180-200 employees—around 5 percent of the unicorn's entire workforce—as a cost-cutting measure, as per reports.
In a company statement seen by The Economic Times, Udaan said these layoffs were a result of a company restructuring that made certain positions redundant.
It read, "As the market evolves, we continue to tweak our already proven business model to make it stronger, more efficient, customer-centric, and agile. In this direction, we have taken various steps to enhance efficiency, refine our cost structure, and grow faster in our journey to achieve strong unit economics."
Vaibhav Gupta, CEO, Udaan
These layoffs come after CEO Vaibhav Gupta's internal memo surfaced, which stated the company was on track to become unit economics positive in the quarter ending June 30, 2022.
Amid global market uncertainty and the arrival of a "funding winter", several Indian startups have collectively laid off some 6,000 employees over the past few months. These include Unacademy, Vedantu, Cars24, Mfine, Trell, and others.
In April this year, edtech unicorn laid off around 600 employees, including its on-roll staff and contractual educators, of which about 300 were educators on contracts while the rest were in sales, business, and other functions.
Similarly, in May, another edtech unicorn said it was laying off seven percent of its workforce due to changes in the business environment. At the time of its appraisal, SaaS startup laid off around 250 employees.
Esports unicorn also laid off about 10 percent of its workforce, while gold loan platform culled 10-15 percent of its workforce across the organisation.
In fact, in the crypto world, Crypto exchange is laying off about 1,100 employees—around 18 percent of its workforce.
(This story is updated with a new featured image.)
Edited by Suman Singh
