New Delhi: Swiggy and Flipkart have announced employee layoffs amid what’s being dubbed as a “funding winter” in the startup sector.
Swiggy is set to cut approximately 7% of its workforce, amounting to around 350-400 employees, primarily from its tech teams and a section of the customer care department of the food delivery giant. This marks the second round of layoffs for Swiggy, with the company previously reducing its workforce by 380 jobs in January last year.
The move has come as part of an operational efficiency drive in the Bengaluru-based firm that has about 6,000 employees.
Meanwhile, e-commerce giant Flipkart is letting go about 5% of its workforce amounting to around 1,000 employees. Flipkart is currently preparing for its initial public offering (IPO), originally slated for this year but now anticipated in 2025-2026.
To enhance its IPO readiness, Flipkart is actively working on various fronts, including corporate governance improvements, optimising finance operations and trimming down its overall workforce by 5-7% according to Business Standard.
Flipkart CEO Kalyan Krishnamurthy addressed employees in a recent townhall meeting, stating that the company’s financial health is on an upward trajectory. He noted that the IPO might be delayed, focusing on a valuation of around $60 billion during the planned offering.
Omprakash Tiwary is a business writer who delves into the intricacies of the corporate world. With a focus on finance and economic landscape. He offers readers valuable insights into market trends, entrepreneurship, and economic developments.
