Swiggy plans to cut 400 jobs, representing 6% of its Indian workforce. Layoffs will affect technology teams, call centres, and corporate roles. Swiggy Instamart expansion, cash loss, and plans for an IPO lead to cost optimization. Global tech companies also facing layoffs due to challenging economic climate.
Swiggy, one of India’s leading food delivery platform, announced plans to cut nearly 400 jobs across various teams. According to a report by The Economic Times, this significant downsizing, representing roughly 6% of
Swiggy
's workforce in India. According to the report, the
layoffs
are expected to impact employees across technology teams, call centres and even corporate roles.
The report further mentions that layoffs would take place gradually over the next few weeks. Swiggy has close to 7,000 employees, as per reports.
This is the second time in 12 months that Swiggy has laid off employees. Last year in January, Swiggy had let go off close to 380 employees citing slowdown in growth and overhiring. While the company hasn’t confirmed the layoffs as of now, the report by The Economic Times suggests that the company has been aggressively expanding its grocery delivery service,
Swiggy Instamart
and losing quite a bit of cash.
Swiggy also has plans for an
IPO
and, as per the report, the company plans to optimise costs and show better financials before hitting the public markets.
The news comes amidst a challenging economic climate for tech companies across the world. 2024 hasn’t started off on a good note for tech companies. In the last 25 days or so, globally layoffs have become the order of the day. Google,
Amazon
,
eBay
have laid off hundreds of employees. Swiggy is one of the first major Indian companies, which is expected to layoff hundreds of employees.
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