WayCool Foods cuts over 200 jobs amid financial struggles: report
According to reports, the company has previously postponed employee salaries and has not yet processed their June payslips.
Agritech and supply chain startup WayCool Foods has reportedly conducted a fresh round of layoffs which has affected over 200 employees across departments.
"Each of WayCool's businesses is executing their plans to get to profitability. As part of this, roles and structures are further simplified and automated. This will be a continual process," a WayCool foods spokesperson said in a statement.
"There are indeed management changes in line with the above, and successors have stepped in where changes were needed," the statement added.
According to reports from Moneycontrol, the company has previously postponed employee salaries and has not yet processed their June payslips. The report, citing sources, indicates that funding has diminished, and payments from clients are delayed.
Moreover, outstanding payments to vendors, including millers, logistics partners, and service providers like SGS, have worsened the situation. While vendor payments were previously made in rotation over the past three months, this practice has ceased since June due to delays in client collections, the report said.
However the company said that it is is currently raising a bridge round and has received 75% of the proceedings, and will complete the round by August.
This is the third round of layoffs conducted by WayCool within a year. According to reports, Waycool had laid off approximately 70 employees in February and had closed some warehouses as well.
Edited by Jyoti Narayan