Ola Electric to lay off 5% of its workforce
The Bhavish Aggarwal-led company added that the layoffs were part of the company’s efforts to increase automation across front end operations.
EV-maker Ola Electric on Friday said it will lay off about 5% of its workforce as it focuses on increasing automation across its front end operations.
“The company is doubling down on speed and discipline through increased automation across its frontend operations. As part of this ongoing structural transformation, approximately 5% of the workforce will be impacted,” the company said in a statement.
The news comes amid plunging EV sales at the company, that once held the market lead in electric two-wheeler (E2W) sales.
Ola Electric had also expanded its service centre options with dedicated Hyperservice features that aims to offer same-day service guarantee in December.
According to the firm, its same-day resolution is now being delivered to over 80% of service requests nationwide.
Despite efforts taken, the company’s sales have dipped in January, according to Vahaan data. The company managed to sell only 6,747 units in January, capturing a mere 6.1% share of the market.
The EV-maker had previously undertaken a series of layoffs in 2024 which impacted around 450-500 employees.
Ola Electric's revenue has also seen recent declines. In Q2, it reported a 43.1% decline in its revenue from operations to Rs 690 crore compared to Rs 1,214 crore in the year-ago period.
Amidst cost-cutting efforts, the company inched closer to its path to profitability, with a 15.5% decline in net losses for the period compared with the year-ago period, helped by a 44% slash in expenses across all segments.