As Byju’s grapples with financial strain and delays in salary payments, the edtech giant has initiated a fresh round of layoffs affecting approximately 500 employees. The layoffs primarily target the sales department and tuition center staff, including teachers. This move comes amidst a broader restructuring effort led by CEO Arjun Mohan to streamline operations and mitigate costs.
Since October, Byju’s has already fired more than 5000 employees. This time, the 500 employees fired were not even given any notice period.
It seems they were fired on a call.
Founder’s Net Worth Plummets to Zero
Meanwhile, Forbes’ Billionaire Index 2024 paints a stark picture of Byju Raveendran’s financial downfall, with his net worth plummeting from ₹17,545 crore ($2.1 billion) to zero. Once hailed as a billionaire, Raveendran’s fortunes have dramatically reversed due to the tumultuous state of his startup, Byju’s. The company’s valuation has plummeted from $22 billion to just $1 billion, prompting shareholder unrest and leadership changes.
The Turmoil Facing Byju’s
Founded in 2011, Byju’s quickly rose to prominence as India’s leading edtech platform, but recent financial disclosures and controversies have tarnished its reputation. Amidst regulatory scrutiny and investor concerns, Byju’s has been forced to implement significant layoffs and undergo leadership changes to navigate its financial woes.
In summary, Byju’s faces mounting challenges as it grapples with financial strain, leadership upheaval, and declining investor confidence. The company’s once-flourishing trajectory has been marred by setbacks, leading to significant repercussions for its founder and employees alike.
