Byju’s To Fire 2000+ Employees For Increasing Profits

Popular Edtech firm Byju’s will be freeing off 2500 employees. We recently heard about the case of moonlighting in Wipro. Along with that, TCS(Tata Consultancy Services) also came up with the sacking of employees. 

After successfully running for almost a decade, India’s most popular Edtech decided to rebuild itself. Aiming for global recognition and exceptional partnerships, let us hear what the founders have to say regarding this situation. 

The co-founder Divya Gokulnath talked to PTI (Press Trust of India) and stated that “We have designed a path to profitability which we plan to achieve by March 2023. We have built significant brand awareness throughout India and there is scope to optimise the marketing budget and prioritise the spending in a way that creates a global footprint. Second is operational cost and the third is the integration of multiple business units.”

She further added, “This (the new plan) will help us enhance efficiency, and avoid redundancy. So there will be a rationalisation of roles as well. Our hybrid teaching model which is the tuition centre and our online teaching model which is Byju’s Classes or our learning app is scaling very well. Especially for our first two products, we plan to hire 10,000 teachers. Our revenues will be on track as per what we are doing.” 

This will further help the firm in leveraging partnerships. She also said that avoiding redundancies and strengthening technology is a better way to help them get partnerships with brands like Fifa. They also have decided to hire 10,000 teachers in the next year. That will make the total number of teachers 20,000. 

The CEO of Byju’s, Mr Mrinal Mohit stated that “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.”

They will also be integrating their K10 subsidiaries such as Scholar, TutorVista, HashLearn, and others into this. However, Akash and Great Learning will be going separately as they are. Reports say that the firm reported a severe loss of Rs. 4588 in FY21. This could be their master plan for revenue regeneration. In July 2022, they conducted a fresh round of funding that made $22 Billion. 

Furthermore, the loss in the year 2020-21 expanded from ₹231 crores in 2019-20. The revenues dropped severely this year and as one of the most popular startups, they finally released these audited financial statements on Wednesday, after months of delay.  

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