Meesho CEO Vidit Aatrey (left) in an inner e-mail to workers says firm is decreasing the scale of the Meesho workforce by 15 per cent, affecting 251 workers.
Meesho Layoffs: It says the corporate is dedicated to making sure all these impacted have its full help and will likely be supplied with a separation package deal
Latest Layoffs:  E-commerce agency Meesho has laid off 251 workers or about 15 per cent of its workforce to chop prices and as a part of its efforts to realize profitability. The firm in an announcement on Friday stated it “appears to be like to work with a leaner organisational construction to realize sustained profitability”.
The company said those laid off will have its full support and will be provided with a separation package that includes a one-time severance payment of 2.5 to 9 months (depending on tenor and designation), continued insurance benefits, job placement support and accelerated vesting of ESOPs.
In an email to employees announcing the layoff decision, Meesho founder and CEO Vidit Aatrey said all the affected employees will get one month of extra severance pay beyond the notice period as well as ESOPs irrespective of the period they have been with the company.
“We are reducing the size of the Meesho workforce by 15 per cent, affecting 251 employees,” Aatrey stated in an inner e-mail.
He stated that the corporate grew 10 occasions from 2020 to 2022 which was aided by Covid tailwinds and aggressive investments.
“Even as we tracked our plans, the macro local weather undeniably and significantly modified. As a consequence, we’ve got needed to speed up our timeline to profitability as a part of Project Redbull, whereas readjusting our GMV development targets to 30 per cent YoY. While our money reserves buffer us effectively for these harsh circumstances, we have to keep extremely prudent on the fee entrance,” Aatrey said.
Meesho in a statement on Friday said, “We have taken a difficult decision to part ways with 251 Meeshoites constituting 15 per cent of the employee base, as we look to work with a leaner organizational structure to achieve sustained profitability.”
It stated the corporate is dedicated to making sure all these impacted have its full help and will likely be supplied with a separation package deal that features a one-time severance fee of two.5 to 9 months (relying on tenor and designation), continued insurance coverage advantages, job placement help and accelerated vesting of ESOPs.
“We stay grateful for his or her contributions in constructing Meesho,” the corporate stated.
Read all of the Latest Business News, Tax News and Stock Market Updates right here
