Indian edtech company Vedantu is laying off employees and implementing salary deductions. In the fourth round, the company laid off almost 385 employees across verticals such as HR learning and content, while the leadership team, including founders, will take a 50 per cent pay cut.Â
Earlier, Edtech fired 200 employees last month and about 600 last year. Its founder and CEO Vamsi Krishna, announced that the company was laying off about 7 per cent or almost 424 employees out of the 5,900.Â
This comes soon after the majority stake acquisition by Vedantu of Deeksha, a test preparation platform in Karnataka for the board and competitive exams. The founder-led company spent $40 million on the deal.Â
Besides Vedantu, Byjus also recently announced that it would lay off 2,500 employees, and Unacademy declared its second round of layoffs. Along with these two names, LEAD, Eruditus, Practically, Lido, Udayy, and SuperLearn also joined the list of companies laying off employees.Â
Outside of edtech, several other verticals, including Meta, Ola, MPL, Meesho, Chargebee, Cars24, and Udaan, have trimmed down their workforce as fears of a future funding slowdown. This looming session forces start-ups and technology companies to cut down on employee strength, optimize costs and extend their capital runways.Â
