“We’re implementing a very difficult decision to reduce the size of our team as a part of a restructuring exercise. In this process, we will be bidding goodbye to 380 talented Swiggsters. This has been an extremely difficult decision taken after exploring all available options and I’m extremely sorry to all of you for having to go through with this,” Swiggy founder and CEO Sriharsha Majety said in an email to employees after the town hall.
Foodtech company Swiggy has fired 380 employees in a bid to rationalize business amid a tough venture funding market, a company spokesperson said on January 20, the latest in the series of layoffs that have rocked India’s startup ecosystem. The decision was communicated to employees at a town hall on January 20.
“We’re implementing a very difficult decision to reduce the size of our team as a part of a restructuring exercise. In this process, we will be bidding goodbye to 380 talented Swiggsters. This has been an extremely difficult decision taken after exploring all available options and I’m extremely sorry to all of you for having to go through with this,” Swiggy founder and CEO Sriharsha Majety said in an email to employees after the town hall.
Majety said that the company would have to take a harder look at some of its existing verticals and would be shutting down its meat marketplace.
The employees who have been fired will receive a cash payout of three to six months of salary, based on their tenure and grade. This includes a 100 percent payout of variable pay/ incentives. The joining bonus and retention bonus paid out will be waived. The annual vesting cliff for employee stock options has been waived as well for the affected staff.
Swiggy’s decision comes less than a week after ShareChat parent Mohalla Tech Pvt fired 600 of its 2,100 employees, just six months after raising $255 million in funding.
