The newly appointed CEO of Byju’s, Arjun Mohan, who took charge of the company on 20 September, has made a decision to fire more than 4500 people as a way to restructure the business and cut costs. In a meeting, Mohan briefed the company’s senior executives that he would be merging several business verticals as a way to change the company structure, and new changes will take place in the early days of October.
These changes are supposed to be made in Think & Learn, the parent company of Byju’s. This job cut will cover both the permanent employees as well as the contractual staffers.
Going forward, Byju’s will be focusing on profitable business inside two broad business verticals. Their main motive is to get more and more students into offline centres, and this is how they are planning to move forward.
Byju’s have also cut their employees previously, but unlike the first time, this time, senior members are also being let go. This can be more beneficial as Byju has constantly hired senior employees with aggressive salaries. Byju’s is also looking into the business verticals of UPSC, JEE, NEET, JEET, CAT, and GATE, which a very profitable business considering the amount of people who appear for these exams every year.
This is a big decision by Byju’s and only time will tell if this decision to fire employees was in the right direction or not.