Byju's Layoffs: Employees Dismissed via Phone Calls

Byju's, an edtech company that has been in the news due to its financial turmoils has initiated a fresh round of layoffs amidst financial strains. Reportedly, the company has commenced layoffs without adhering to customary notice periods or implementing performance improvement plans (PIPs) for affected employees.

This decision of Byju's to let go of its employees without notice period of PIPs reflects the urgency with which it is trying to navigate its financial difficulties. As reported by MoneyControl, the layoffs are being carried out via phone calls. 

Making several employees leave the company without any prior notice over a vague phone call adds a layer of impersonality to an already distressing situation for the employees. Additionally, the absence of a structured performance improvement plan suggests that the layoffs may not be solely based on individual performance but rather on broader organizational considerations.

Byju's is supplementing phone calls with subsequent emails, which state, "This is to confirm that your last working day with Think and Learn Pvt Ltd will be March 31, 2024. Your full and final settlement will be done as per the exit policy. Please hand over all the assets and proprietary information of the Company that are in your possession to enable the processing of your full and final settlement. In case of any queries on exit formalities, please contact separations@byjus.com” reported Moneycontrol.

Although the exact number of employees affected by the layoffs remains undisclosed, it is estimated that the numbers nearly range around 500 individuals. These layoffs have come at a time when Byjus is grappling with countless financial strains including reduced funds and legal disputes with investors. 

In response to inquiries regarding the layoffs, a spokesperson from Byju's told Moneycontrol, “We are in the final stages of a business restructuring exercise announced in October 2023 to simplify operating structures, reduce the cost base, and better cash flow management. We are going through an extraordinary situation in the company because of the ongoing litigation, where every employee and the ecosystem itself is going through tremendous stress given the present circumstances.”

Over the past two years, the company has reportedly terminated over 10,000 employees as part of its efforts to navigate through its challenges. And this constant wave of Byju's layoffs underscores the severity of its financial challenges and the measures it is taking to navigate through them. While it is anticipated that these actions may bring short-term relief, the long-term implications for the company's workforce and organizational culture still remain uncertain.

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