Byju's would fire up to 4,000 people: Is Byju's performing poorly?

In its most recent round of layoffs, Byju's, India's largest edtech startup, intends to let go of up to 4,000 employees, according to persons familiar with the situation.

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A few days have passed since Arjun Mohan was named the organization's new chief executive officer for India.

Senior executives will be part of the impacted employees, which will lower the company's high cost of senior management-related spending.

On September 20, the company nominated Mohan as the new head of India. Mohan, a former upGrad executive and former employee of Byju's, will be in charge of more than 75% of the business's sales. Although he was only hired a month ago, he had been cooperating with Byju's informally for some time.

In order to streamline operating structures, save costs, and improve cash flow management, we are currently in the latter stages of a business restructuring project. This process will be finished by Arjun Mohan, the new CEO of Byju India, in the coming weeks, who will then lead a redesigned and sustainable organisation, according to a statement from a Byju's spokeswoman.

At the end of August, Think & Learn Pvt. Ltd., the parent firm, had over 19,000 employees, including contract workers. Following layoffs, this will probably be lowered to 15,000.

According to a person who knows the situation, the main causes are employees who have failed performance-improvement plans and the termination of contract employees.

Although no one has been formally terminated yet, Mohan informed several of the top staff during a meeting on Tuesday that a few of them and their subordinates will be impacted. The procedure will likely begin only later this week or early next week. "Cash flow is a problem. By the end of October, this will help to settle it, according to the aforementioned source.

BYJU's will downsize from 19 to 4 or 5 offices

Byju's is also minimizing overlaps between the personnel working at its regional sales offices and those working online and offline. According to the aforementioned person, the company will soon only have offices in four or five locations, down from 19 regional offices.