Educational technology company BYJU'S has fired around 2,500 employees as it seeks to cut costs amid decreasing demand for educational technology applications, a report stated.
However, the report has been denied by the company as "misinformation."
The report states that on 27 and 28 June, BYJU'S fired more than 1,500 employees from companies that it acquired over the last two years, namely Toppr and WhiteHat Jr. On 29 June, it laid off more than 1,000 of its own employees from its sales, marketing, operations, content, and designing teams.
"They have reduced content, solution-writing and design teams drastically across group companies. Some of these teams have even been reduced to zero. Earlier they were laying off employees from the companies they acquired so that their name doesn't come directly, but now they have laid off employees from its core operations," Moneycontrol quoted a source as saying.
BYJU'S Denies Report As 'Misinformation'
Around 300-350 permanent employees of Toppr were laid off, while another 300 were asked to resign, or were told that they would not be obtaining their salaries for around one-and-a-half months.
Further, 600 contractual workers, whose contracts were set to lapse in October or November this year, were also fired.
"Only about 100 employees are left at Toppr right now," the source said.
Rubbishing the claims made by the report, a spokesperson of BYJU'S said, "We strongly deny the misinformation presented by Moneycontrol. To recalibrate our business priorities and accelerate our long-term growth, we are optimising our teams from our group companies. This entire exercise involves less than 500 employees from across Byju's Group companies."
(With inputs from Moneycontrol.)
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