Indian edtech company Byju’s is laying off 2,500 employees from its total workforce. The spokesperson of the company told Business Today that the layoffs “will not happen immediately” but will happen over “a period of six months.”
Additionally, the company is also planning to hire 10,000 more teachers in the coming year and take the total number of teachers to 30,000. These steps are being taken to become portable in FY23, and avoid redundancies and duplication of roles, the company said in a statement on Wednesday.
“To avoid redundancies and duplication of roles, and by leveraging technology better, around five percent of Byju’s 50,000-strong workforce is expected to be rationalised across product, content, media, and technology teams in a phased manner,” the statement read.
The company also said that it is also reworking its marketing budget to ensure “more efficient growth.”
“Since significant brand awareness has been created in India over the past few years, there is a scope to optimise marketing budgets locally and prioritise spending to increase brand awareness in overseas markets,” the statement claimed.
Byju’s, which is registered under the name of Think & Learn Pvt. Ltd., hit the headlines last month after it announced its FY21 results which saw its losses widen by nearly 20 times to Rs 4,588.75 crore from Rs 231.69 crore in FY20.
With these measures, the company said it hopes to hit the profitability target it has set for itself.
“As a mature organisation that takes its responsibility towards investors and stakeholders seriously, we aim to ensure sustainable growth alongside strong revenue growth. These measures will help us achieve profitability in the defined time frame of March 2023,” Mrinal Mohit, CEO of Byju’s India business, said.