Swiggy reportedly laying off 250 employees this month
Food delivery startup Swiggy is reportedly laying off over 250 employees this month in operations, technology, customer service, and supply chain. This could affect about 3 -- 5 per cent of its workforce.
Swiggy laid off 3 percent of its workforce after Zomato laid off 3 per cent of its workforce due to poor performance.
According to a report in The Economic Times, people in supply chain, operations, customer service, and tech roles are likely to be impacted.
They want a very lean team structure across functions. Later this month, there will be a series of stress workshops for employees. They have appointed a consulting firm to advise them on the restructuring. The sources quoted as saying that most of the layoffs are likely to happen in tech, engineering, product roles and operations.
In a town hall, the head of human resources, Girish Menon, informed employees of performance-based exits during a town hall meeting. The company has begun restructuring its teams with the help of a consulting firm. Swiggy is also said to have announced the promotion of several executives to the position of vice president.
According to the report, the head of operations, Mihir Shah, has been promoted to Senior Vice President of Operations.
We ended our performance cycle in October and announced ratings and promotions at all levels. Swiggy told ET that they expect exits based on performance.
In order to reduce cash burn, employees at Swiggy's instant grocery delivery platform, Instamart, are being moved to other parts of the company. The expansion plans of Instamart are said to be conservative by the company. The expansion plans of Instamart are being questioned by the company.
Despite offering significant discounts, global brokerage firm Jefferies reported last month that Swiggy was rapidly losing market share to its competitor Zomato.
Swiggy decided to close its cloud kitchen brand, The Bowl Company, in Delhi and the National Capital Region NCR in November due to high losses.