Edtech giant PhysicsWallah has undergone a restructuring process, reportedly laying off 120 employees following a performance review. The company clarified that less than 0.8% of its workforce, consisting of approximately 12,000 employees, would be affected by this performance-driven evaluation.
This move comes in the wake of PhysicsWallah’s status as a unicorn, achieved over a year ago, when it secured $100 million in investments from notable backers such as WestBridge Capital and GSV Ventures. The decision was highlighted by Entracker, which attributed the layoffs to a cost-cutting initiative undertaken by PhysicsWallah.
The job cuts, according to Entracker, have affected departments including content, operations, and various other segments. Reports indicated that employees were summoned for meetings without specific reasons being provided.
However, the company denied the characterization of these actions as a mass layoff. PhysicsWallah’s Chief Human Resources Officer (CHRO), Satish Khengre, clarified the situation, stating, “For the cycle ending in October, less than 0.8% of our workforce, approximately 70 to 120 individuals with performance concerns, may be asked to transition.”
Khengre further emphasized the company’s commitment to enhancing its workforce, expressing intentions to hire an additional 1,000 employees in the forthcoming six months. This move aligns with previous staffing adjustments made by various edtech unicorns, such as BYJU’S and Unacademy, responding to the surge in demand for online educational platforms during the Covid period.
PhysicsWallah, founded by Alakh Pandey in 2020, initially gained prominence for delivering online classes via YouTube. The company attained a valuation of $1.1 billion in June last year.
Sources By Agencies