“Byju’s Faces Financial Strain, Withholds Full April Pay for Sales Staff”
Byju’s, the embattled edtech platform, has faced a liquidity crisis, resulting in delayed salaries and a new policy linking sales employees’ pay to their generated revenue. According to sources, the company paid full salaries for April to all employees except those in sales roles, amidst ongoing financial challenges.
Byju’s, the embattled edtech platform, has faced a liquidity crisis, resulting in delayed salaries and a new policy linking sales employees’ pay to their generated revenue. According to sources, the company paid full salaries for April to all employees except those in sales roles, amidst ongoing financial challenges.
The edtech firm, known for its innovative learning solutions, had previously experienced delays in salary payments for February and March, with only partial payments made later in those months. The recent full payment for April comes after two months of partial payments, indicating the company’s efforts to stabilize its financial situation.
The decision to exclude sales employees from receiving full salaries is part of a new policy that links their pay directly to the revenue they generate each week. This policy, in effect for four weeks until May 21, aims to align compensation with performance and revenue outcomes.
Byju’s attributed the ability to pay full salaries in April to revenue generated and debt raised by the founders. However, the company is still in the process of resolving outstanding payments for previous months, highlighting ongoing financial challenges.
This development follows Byju’s recent announcement of layoffs affecting hundreds of employees, signaling a broader business restructuring effort amid financial constraints. The company stated that these measures were necessary to navigate the current economic landscape and ensure long-term sustainability.
Sources By Agencies
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