New Delhi: Swiggy, a leading online food platform, has announced a major decision today. Swiggy Company has decided to lay off 380 employees (Swiggy Layoff 380 Employees). It has been learned that this decision has been taken by the company due to large scale erosion of profits along with gap in income.
- Swiggy’s revenue and profit declined as growth in the food delivery segment slowed
- Swiggy decided to lay off employees to increase profitability
- The company also held responsible for over-hiring of employees in the past
The CEO of the company announced the layoff of 380 employees today. The CEO of the company, Harsh Majeti, said that this is a very difficult decision, but if this decision is not taken, difficulties will increase for the company. This step has to be taken as part of the change effort. “We are taking this difficult decision to downsize our team,” the company said in a statement regarding potential layoffs of 380 employees. The company’s CEO Sriharsh Majti said in a mail sent on his behalf to the employees that the decision has been taken after considering all possible circumstances. In his email, he has given several reasons for taking this decision of retrenchment and has also apologized to the employees for this. One of the main reasons cited by Swiggy for layoffs is the challenging macroeconomic conditions. The company is facing a number of challenges. However, Swiggy also claims that he has enough funds to sustain himself.
Swiggy laid off employees for this reason
Swiggy’s CEO said, “Doing business on an online food platform has never been easier. It is a very difficult task. The growth rate in the food delivery segment has slowed down, resulting in lower profits and lower earnings, which is completely against the company’s estimates. Hence the difficult decision of retrenchment has been taken.” Swiggy also blamed over-hiring for the decision to lay off people. The company now wants to focus on increasing profits, for that all things including infrastructure are being focused.